Cargill to invest $100m to enhance soybean meal and oil production

Cargill is set to invest $100m in its soybean oil crush operation in Borg El Arab, doubling capacity in order to meet the soybean meal and vegetable oil demand in Egypt.

The new development will see an addition of a 3,000t production line to the company’s existing facility to enable Cargill to maximise the economy of scale and efficiencies in its production process for both soybean meal and oil.

Cargill Middle East and Africa grain and oilseeds business head Johan Steyn said: "This investment fits with our strategy of growing our business in Africa and the Middle East.

"The demand for soybean meal and oil continues to grow, and expanding our capabilities in Egypt will enable us to better serve our customers in the local market with high-quality products, crushed and produced locally."

Under this initiative, the expanded crush plant will feature the latest technology, which will result in the production of an enhanced high-protein meal.

As part of the new investment, Cargill will also construct an additional 42,000t of storage capacity within its existing premises at the port of Dekheila in Alexandria.

This extension will allow the company to strengthen its supply chain in a bid to achieve improved efficiency in the timely delivery of grains to its Egyptian customers, and to its crush plant at Borg El Arab.

Work at the Borg El Arab facility is expected to start in November this year and the expanded facility is scheduled to be operational by mid-2017.

Expansion work at the port of Dekheila is also due to begin in November, and is scheduled to be completed by the end of next year.

Meanwhile, the company will also install equipment that will enable significant savings in power consumption for the new and existing plants.

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Image: The new investment in crush plant will allow Cargill to maximise economies of scale and efficiencies in its production process for both soybean meal and oil. Photo: courtesy of Cargill, Incorporated.