J&F, the parent company of JBS SA, is considering new investments in Saudi Arabia as part of efforts to strengthen business ties between the two countries. A Brazilian government delegation, including President Luiz Inacio Lula da Silva, is currently in Saudi Arabia to boost bilateral trade relations.
According to Reuters, Wesley Batista, a member of JBS’ founding family, expressed the company’s growing interest in exploring significant investments in Saudi Arabia. He made this statement from Riyadh, where JBS already has a plant in Damman and another under construction in Jeddah.
J&F, which operates in various sectors such as food, mining, pulp, paper, and energy, stated that once the Jeddah facility is operational, JBS will increase its capacity in Saudi Arabia to 40,000 tons of processed chicken products per year. This would be four times the current production levels.
Saudi Arabia is the largest economy in the Middle East and serves as Brazil’s primary trading partner in the region. In 2022, the bilateral transactions between the two countries exceeded $8 billion, according to J&F.
Brazil is the world’s leading exporter of halal meats, which adhere to Muslim dietary requirements. The country is known for having highly efficient meat exporters, including BRF, Minerva, and Marfrig, which also compete with JBS in the Gulf region.
Khalid Al-Falih, Saudi Arabia’s Minister of Investment, emphasized the importance of the food sector in the cooperation between the two countries. He stated that Saudi Arabia aims to achieve “food security” and become a global hub in the meat sector.