Raya Foods secures USD 40M to boost global horti exports

EGYPT – In a major move for Egypt’s agricultural sector, Raya Foods has received a USD 40 million investment to expand its frozen fruit and vegetable exports.

The company plans to use the funds to increase production capacity and enhance its global presence in the growing market for sustainable food products.

Raya Foods, known for its production of frozen fruits and vegetables, announced the sale of 49% of its shares to Helios Investment Partners, a British private equity firm. This deal, valued at USD 40 million, will fund the construction of a new facility in Sadat City.

The planned facility will cover 2.5 hectares and focus on freeze-drying fruits and vegetables. This process removes water from food, significantly extending its shelf life, which is crucial for global exports.

CEO Omar Abdelaziz shared his excitement about the investment, stating, “This investment will help us accelerate our growth and expand globally, allowing us to diversify our product line to include freeze-dried options.”

“This will also position us competitively in a market with growing demand for healthy and sustainable food options.”

The funds from Helios will not only enable the company to scale up production but also to diversify its product range. Raya Foods already exports frozen produce to more than 50 countries.

This investment aligns with the company’s strategy to meet the rising global demand for natural and long-lasting food products.

According to data from Statista, the global market for frozen and processed fruit is projected to reach nearly USD 70 billion in revenue by 2024, growing annually by 6.74% until 2029. Raya Foods aims to capitalize on this growth by strengthening its foothold in the global market.

With its new facility, Raya Foods plans to significantly increase its production capacity. The company currently supplies 50,000 tons of agricultural produce annually, including strawberries, sweet potatoes, mangoes, and various vegetables. The expansion is expected to enhance its competitiveness in the frozen food market.

Raya Foods’ expansion comes amid a broader boom in Egypt’s agricultural export sector. As of mid-October 2024, Egypt’s agricultural exports have surged to 6.9 million tons, generating USD 4.04 billion in revenue.

The country exports a range of produce, including citrus fruits, potatoes, onions, and mangoes, to over 165 countries.

Egypt’s horticultural sector is already a significant contributor to the country’s economy, and investments like these could further strengthen its position.

“Egypt has become a vital player in global food supply, and with this capital injection, Raya Foods is well-placed to meet the increasing demand for its products,” Abdelaziz noted.

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