Silal to acquire majority stake in Al Bakrawe holding

UAE – Silal, the UAE’s leading food and technology company, has announced its agreement to acquire a majority stake in Al Bakrawe Holding, a prominent regional importer, exporter, and distributor of fresh fruits and vegetables.

This move is set to strengthen Silal’s position as one of the largest and most innovative suppliers of fresh produce in the UAE.

Al Bakrawe’s global sourcing network, which spans over 550 suppliers in more than 50 countries, will complement Silal’s existing network of local farms. This synergy will enable Silal to offer a wide variety of high-quality fruit and vegetable products year-round.

“Entering into this agreement with Al Bakrawe Holding marks a significant milestone for Silal as we expand our footprint in the fresh produce market,” said Salmeen Al Ameri, Chief Executive Officer of Silal.

“This strategic acquisition strengthens our regional presence and enhances our ability to deliver the highest quality products to our consumers.”

Before its acquisition, Al Bakrawe Holding was a key player in the distribution of fresh produce, handling over 49,000 TEUs annually.

This collaboration with Silal is expected to enhance supply chain capabilities and market reach, allowing both companies to better serve their customers.

Ammar Bakri, Group Chief Executive Officer of Al Bakrawe Holding, expressed his enthusiasm for the partnership, stating, “This partnership enhances our supply chain capabilities and expands our market reach, allowing us to continue providing our customers with the highest quality fresh produce while contributing to the development of a sustainable food ecosystem in the UAE and the region.”

Silal has been on a path of strategic expansion, with this acquisition being the third of its kind. The company previously acquired majority stakes in SAFCO International, which specializes in distributing food and beverages, and Sherwood, a leading distributor of agricultural products and pest management solutions in the UAE.

Additionally, Silal recently launched one of the largest food distribution facilities in Khalifa Economic Zones Abu Dhabi (KEZAD).

The 41,000-square-meter facility is equipped with advanced infrastructure, including cold rooms and storage facilities, designed to optimize food preservation and transportation logistics.

This new hub is expected to play a crucial role in enhancing trade opportunities by providing efficient warehousing and transport logistics solutions.

The UAE fruits and vegetables market is fast growing, with projections indicating an increase from USD 427.33 million in 2024 to USD 534.60 million by 2029, reflecting a compound annual growth rate (CAGR) of 4.60%.

The fresh vegetables market alone is anticipated to grow by 5.23% annually, reaching a market volume of USD 4.98 billion by 2029.

The partnership between Silal and Al Bakrawe Holding is expected to play a pivotal role in meeting the growing demands of the market, ultimately contributing to a more sustainable and efficient food supply chain in the region.