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FINANCIAL NEWS
Saudi Arabia’s Nadec obtains farmland in Sudan
15 Feb 2009
(MENAFN) Officials at Saudi Arabia’s National Agricultural Development Company (Nadec) said that the company has completed procedures to obtain a 42,000-hectare farmland in Sudan, Reuters reported.
The farmland is located in the Nile province, Nadec said in a statement without detailing whether it would buy or lease the land. Nadec also gave no details as to what it planned to do with the land.
Nadec produced 150,000 tons of wheat in 2008, although grains constitute just under 17 percent of its turnover. Nadec is more focused on dairy and juice production, which accounted for about 70 percent of its turnover in 2008.
Saudi Arabia has urged companies to invest in farm projects abroad after abandoning a 30-year old program for self sufficiency in wheat in 2008. The program depleted the desert kingdom’s scarce water supplies.
The decision forced many local agricultural companies growing wheat for the domestic market to explore alternatives to compensate for the drop in revenues.
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