MANAMA: The Arabian Sugar Company received formal permission from Bahrain’s government to set up a $150 million sugar plant with a production capacity of 585,000 tons per annum.
Located in the Hidd Industrial Area, the factory, Bahrain’s first, will come up within the Bahrain Industrial Investment Park (BIIP) and is designed with European technology to produce the highest quality “Icumsa 45” sugar, said Anmar Jalil Al-Arrayed, the company’s managing director.
The company is being promoted by Tanmiyat Aloula Holdings, a Bahraini company that has investments in the industrial sector. The partners in Arabian Sugar Company include the General Organization of Social Insurance, the International Investment Bank, the Kuwait International Bank, the Almohaisen Group, the Al-Nafea Group, the Albabtain Group and other high net worth shareholders from the GCC as well as a partner from Spain.
He said a UK-based sugar technology and engineering firm, Sugar Knowledge International (SKIL), would manage the project till its completion. “The project will be under the direct supervision of SKIL right from the start of construction of the plant in addition to the contractors, IFEO, from Spain,” he said.
He added that SKIL is a leader in the refinery engineering business and was chosen based on its long experience in the industry.
He added that this is also the case with IFEO, which has international experience in successfully setting up sugar refineries.
“Although the second half of 2008 was the beginning of a difficult period for fund raising, the project stood out to many investors as an alternative to what was being offered in the market,” said Al-Arrayed.
He lauded the support from the project’s partners as well as the government of Bahrain for providing an ample opportunity for this unique industrial unit to be set up in the country.
They will use state-of-the-art equipment and limited energy resources to provide an essential food requirement. The project could also lead to the hiring of Bahrainis to work in the plant thus fitting in with Bahrain’s 2030 vision.
Al-Arrayed said the project would not have become a reality without the support of the Economic Development Board (EDB) and its chief executive Shaikh Mohammed bin Essa Al-Khalifa. “The EDB was instrumental in the project staying on the right track. We are also grateful for the support of Industry and Commerce Minister Hassan Fakhro, Works Minister Fahmi Al-Jowder, National Oil and Gas Authority Chairman and Oil Minister Abdulhussein Mirza, Municipality Minister Juma Al-Kaabi and Electricity and Water Authority Chief Executive Abdulmajeed Al-Awadhi.
“All government agencies and concerned departments played a pivotal role from day one and their support helped the investors to come up with a fantastic new project. The agreement we have with the contractor also stipulates that they will train engineers and technicians as well as maintenance of the computerized equipment and monitor the plant operations,” he added.
