AED 200 Mn manufacturing facility announced at Dubai Industrial City in line with UAE food security agenda

Dubai, UAE, 06 March 2023: Bolstering the UAE’s commitment to build a self-reliant food security program, Silver Line Gate Group (SLG) is constructing a new manufacturing, warehouse and corporate offices facility, spanning 1.37 million sq. ft., at Dubai Industrial City, a member of TECOM Group. SLG Group is one of the Middle East’s leading suppliers of milk powder, including leading brands such as Lancy, Gardo, Silva, SLG, Sama, Zain, Al Sahem, etc. The AED 200 million manufacturing facility is set to open at Dubai Industrial City in 2025.

SLG Group’s manufacturing base joins a growing number of food manufacturers, processing firms producing and exporting foodstuffs globally from the industrial hub, boosting foreign trade and supporting the Dubai Economic Agenda D33. The new facility will meet the demands of B2B and B2C customers across the GCC, African market and Southeast Asia, and support the distribution of wholesale bakery products such as butter, whey powder, and vegetable shortening to bakeries, restaurants, ice cream manufacturers, hotels, caterers and other users across the UAE.

Speaking on behalf of Dubai Industrial City, Saud Abu Alshawareb, Executive Vice President of Industrial Leasing – TECOM Group, said: “UAE leadership underscores food security as one of its key priorities. With a growing volume of Dubai-based food manufacturers located in one address, Dubai Industrial City is leading the way for Dubai to cultivate a self-reliant food programme. We are pleased to welcome Silver Line Gate Group (SLG) into our growing community of food manufacturers and distributors who ensure people across the UAE, Middle East and beyond always have access to nutritious food products.”

Mrs. Shereen Saeed, General Manager, at SLG Group, said: “Our business is growing rapidly, fuelled by a growing demand for powdered milk and related products across the region. Our ability to cater to this demand, in terms of both output and timely delivery, hinges on our facility. Dubai Industrial City offers us fully equipped industrial infrastructure to easily set up a state-of-the-art manufacturing and logistics centre from which we can better cater to many other markets. Dubai is fast becoming the industrial centre of the region, and we’re thrilled by this chapter in our company’s growth and global expansion story.”

According to Mordor Intelligence, the Middle East and Africa dairy ingredients market is projected to grow at a compound annual growth rate (CAGR) of 5.7 per cent between 2020 and 2025. The popularity of whey proteins, driven by a renewed focus on active lifestyles and fitness, and the growing use of infant milk formula contribute to greater demand for milk products.

SLG Group’s new facility is designed to meet the growing market by using advanced technologies with fully automated machinery and equipment and will create more than 300 jobs. Dubai’s strategic location, paired with Dubai Industrial City’s extensive transport network that includes land, air, sea, and soon Etihad Rail, will provide SLG Group unrivalled and convenient access to key markets.

The food security agenda

The UAE's success in developing a global-scale food production and distribution capacity is due to the country's National Food Strategy 2051, which was first announced in November 2018 by Minister for Climate Change and Environment Mariam Almheiri.

A cornerstone of Operation 300bn, Dubai Industrial City is helping strengthen the local food supply chain by attracting regional and global F&B brands to the UAE. It provides industry-specific infrastructure, industrial land, warehouses, workers' accommodation, and open yards to support the complete manufacturing and distribution industry. Dubai Industrial City also offers customers unrivalled and convenient access to key markets via an extensive transport network that includes land, air, sea, and soon Etihad Rail.

Dubai Industrial City is part of TECOM Group’s portfolio of 10 business districts, including Dubai Internet City, Dubai Media City, Dubai Studio City, Dubai Production City, Dubai Science Park, Dubai Knowledge Park, Dubai International Academic City and Dubai Design District (d3).