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Kraft Foods and The Olayan Group expand Nabisco Arabia plant in Dammam
Source: BI-ME , Author: Posted by BI-ME staff
Posted: Wed May 30, 2012 5:57 pm

SAUDI ARABIA. Kraft Foods, the global snacks powerhouse in association with The Olayan Group, today announced the expansion of its Nabisco Arabia plant in Dammam with the inauguration of a new Oreo production line and improved infrastructure and facilities.

The new production line was officially inaugurated today by Mr. Lawrence MacDougall, President, Kraft Foods Middle East and Africa, Mr. Jean Marc Delpon De Vaux, President – Consumer Goods Division, Olayan Financing Company in the presence of Mr. Vishal Tikku, Managing Director GCC and Middle East Shared Services, Kraft Foods Mr. Hamad A. Olayan, Director of Corporate Affairs, Olayan Financing Company in addition to dignitaries, esteemed guests, and senior officials from Kraft Foods and The Olayan Group.

The expansion spans approximately 8500 sq. meters and includes a brand new state of the art production facility that adds more capacity to the production of Oreo, in addition to the range of Nabisco biscuits, infrastructural enhancements enabling maximization in floor space utilization, improved ergonomics in equipment usage, and environmentally friendly refrigerant gas air-conditioning units. In addition, the plant has undergone a remarkable increase in the employees’ facilities space from 450sq meters to 1350 sq. meters to provide them with a better working environment.

The new production line more than doubles the plant’s production capacity to better serve consumers in Saudi Arabia & the region, and reflects on the popularity of Oreo cookies. Besides Oreo, the Nabisco Arabia plant also produces Ritz crackers, and Belvita biscuits.
Following the expansion, the Nabisco Arabia plant has a capital investment of around SAR 60 million. The plant employs approximately 170 people from six different nationalities, of which around 30% are Saudi.

Speaking on the occasion, Lawrence MacDougall, President, Kraft Foods Middle East & Africa said: “This announcement marks the expansion of our operations in the region and is a reflection of the increasing popularity of Nabisco brands, reinforcing our positioning as ‘a global snacks powerhouse’ not only internationally but also in the region.  Saudi Arabia is one of our strategic markets in the Middle East and Africa region. The expansion is also a manifestation of our decade long partnership with the Olayan group which is steadily growing.”

“We are very proud that our iconic brand Oreo, which has turned 100 years old only a few weeks ago, is witnessing unprecedented growth around the world, from the United States to China and Asia, and from Latin America and Europe to Saudi Arabia and the other Arab countries. Only a couple of weeks ago, the annual revenue of Oreo globally hit the $2billion mark”, he added.

Jean Marc Delpon De Vaux , President - Consumer Products Division, Olayan Financing Company said: “I’m pleased to celebrate another milestone in business growth today. We are proud of this factory’s achievement and our 50-year business relationship with Nabisco - Kraft. We’re happy that the success of our joint business relationship led us to invest in doubling the capacity of this plant to meet the increasing demand of preferred biscuits - Oreo, Ritz and Belvita, in Saudi Arabia and the region.”

As one of the foremost manufacturers of biscuit products in KSA, Nabisco Arabia continues to invest in increasing the production capacity of its plant. This expansion is one of the many significant milestones that the plant has achieved over the past decade.

Kraft Foods has been present in the GCC region through its products for many decades. In the last few years, the company invested heavily in broadening its snack platform, particularly chocolates, biscuits, gum and candy. Today, Kraft Foods produces and markets some of the best brands in the world such as Cadbury Dairy Milk, Flake, Trident, Ritz, Barni and of course the world’s best-selling cookie: Oreo.

The Nabisco Arabia plant in Dammam, a joint venture between Kraft Foods and Olayan Group has been operating for almost a decade, providing regional consumers with some of their favorite products.

This year marks The Olayan Group’s 65th anniversary. Olayan comprises more than 40 companies operating in Saudi Arabia, GCC and Middle East and employs approximately 15,000 people led by the best national and foreign experienced professionals. The Group has heavily supported the national economy   with factories  located all over Saudi Arabia, producing plastic, steel, aluminum, food, packaging materials, individual care products and much more.

About Kraft Foods:
Kraft Foods Inc. (NYSE: KFT) is a global snacks powerhouse with an unrivaled portfolio of brands people love. Proudly marketing delicious biscuits, confectionery, beverages, cheese, grocery products and convenient meals in approximately 170 countries, Kraft Foods had 2011 revenue of $54.4 billion. Twelve of the company’s iconic brands – Cadbury, Jacobs, Kraft, LU, Maxwell House, Milka, Nabisco, Oreo, Oscar Mayer, Philadelphia, Tang and Trident – generate revenue of more than $1 billion annually.

On Aug. 4, 2011, Kraft Foods announced plans to divide and create two independent public companies: a high-growth global snacks business and a high-margin North American grocery business. The transaction is expected to be completed before the end of 2012. A leader in innovation, marketing, health & wellness and sustainability, Kraft Foods is a member of the Dow Jones Industrial Average, Standard & Poor's 500, Dow Jones Sustainability Index and Ethibel Sustainability Index.

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About Olayan Group:
The Olayan Group is a multinational enterprise founded in Saudi Arabia in 1947 by Suliman S. Olayan.  It stands today as both a leading, diversified business in Saudi Arabia and major international investor.  The Olayan name has become synonymous with its commitment to business excellence, superior corporate governance and the highest quality goods and services.  Olayan has extensive commercial, industrial, and investment interests including real estate investment and development in Saudi Arabia and the Middle East.  These are managed by Riyadh-based Olayan Financing Company. 2012 marks Olayan’s 65th anniversary.

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About Nabisco Arabia:
Nabisco Arabia (NACO) manufacturing plant is located in Dammam, Kingdom of Saudi Arabia and produces popular and iconic brands Oreo, Ritz and Belvita. The plant is a joint venture between Olayan and Kraft Foods. In 2003, Kraft Foods acquired Nabisco Worldwide, including its shares in Nabisco Arabia.
The facility boasts all major safety and quality accreditations of ISO 22000+PAS 220 certification, ISO 9001-2010, OHSAS 18001, ISO 14001 and QCMS – adhering to Kraft internal quality systems



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