PIF food unit builds Jeddah factory with Brazilian partner

• $160m site to be operational by 2026
• HPDC joint venture with BRF of Brazil
• Growing demand for processed foods

Halal Products Development Company, a wholly owned subsidiary of Saudi Arabia’s Public Investment Fund, and Brazilian food processor BRF have started constructing a processed-food factory in Jeddah.

The factory is being developed by the joint venture BRF Arabia Holding Company at a cost of $160 million, BRF said in a statement.

Established in 2023, the venture is 70 percent owned by BRF and 30 percent by Halal Products Development Company (HPDC).

The factory will have a yearly production capacity of 40,000 tonnes of processed foods.

It will meet growing domestic demand for processed products and help reduce reliance on imported goods as part of Saudi Arabia’s food security strategy, said Fahad Alnuhait, CEO of HPDC.

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It will initially target the local market but may later export its products to other countries in the region.

The facility is scheduled to begin operations in mid-2026, with the option of doubling the initial capacity. 

The Jeddah site will be BRF’s seventh production unit in the Middle East and the third in Saudi Arabia.

It is expected to generate more than 500 direct jobs in the region and will initially use raw materials from Brazil.  

The announcement comes after BRF acquired 26 percent of Addoha Poultry Company in Saudi Arabia through BRF Arabia.