The project, which will be completed in 2022, covers an area of 313,000sqm
Eng. Abdulrahman Al-Fadhli, the Saudi Arabian Minister of Environment, Water and Agriculture, recently hosted the inaugural ceremony of National Grain Company, a strategic partnership between the Saudi Agricultural and Livestock Investment Company (SALIC) and the National Shipping Company of Saudi Arabia (Bahri) with an estimated investment of SAR 412mn (US$ 110 mn) in Phase One.
The new company’s inauguration and name announcement ceremony was held at the headquarters of the Ministry of Environment, Water and Agriculture, under the patronage of the Minister and in the presence of Eng. Ahmed Al-Faris, Governor, Saudi Grains Organization (SAGO); Mohammed Al-Sarhan, Chairman, Bahri; Eng. Sulaiman Al-Rumaih, CEO SALIC; and Abdullah Aldubaikhi, CEO, Bahri.
This partnership aims to oversee the trade, handling, and storage of grains between its sources in all regions of the Black Sea, Europe, South America, and the Red Sea region, contributing to the process of import, transportation, distribution, and storage.
The project will start with a capacity of about 3mn tons per year by the year 2022, to gradually increase to 5mn tons per year. The new terminal, which will be built according to the highest international standards, will enable the rapid handling of grains and fodder.
Built to rigorous standards
The new terminal, which will be constructed to the highest international standards, will allow for the rapid handling of grains and fodder, by making the logistics services of the terminal available to all importers for the benefit of both the private and public sectors.
“We are delighted with this partnership, which aligns with SALIC’s strategy to contribute to achieving food security in the Kingdom, as part of the Vision 2030 objectives,” commented Eng. Abdulrahman Al-Fadhli, Minister of Environment, Water and Agriculture and Chairman, SALIC.
“The new terminal will enhance food distribution solutions in the region by importing, processing, exporting, and storing grains to the Kingdom, thanks in part to the strategic location of Yanbu Commercial Port, a key maritime gateway to receive the Kingdom’s imports of strategic goods,” added Engr. Al-Fadhli.
“Over the years, we have made great efforts to contribute to national food security by transporting nearly 1.5mn tons of grains annually to the Kingdom through our fleet of five dry-bulk carriers. With the addition of four new carriers before the end of this year, Bahri will be able to transport 5mn tons of dry food and various grains, including barley, corn, wheat, soy, and others, annually, to the Kingdom of Saudi Arabia,” commented Mohammed Al-Sarhan, Chairman, Bahri.
Yanbu Commercial Port
“The Yanbu Commercial Port, overlooking the Red Sea, was chosen as the strategic location following a lease agreement between SALIC and the Saudi Ports Authority (MAWANI), reflecting the Kingdom’s objectives to maintain water security and limit the cultivation of fodder that consumes water in large quantities,” noted Al-Sarhan.
The Yanbu Commercial Port is the perfect maritime gateway for a grain handling terminal of this size and capacity, as most imported grains come from countries along the Black Sea, South America, and parts of North America.
New shipments coming from Australia to the Red Sea will also find the terminal beneficial, thanks to its modern offloading, handling, and storage technologies.
