Al Muhaidib to start Alraie operations in Q4 2026: Chairman

Sulaiman Al Muhaidib, Chairman of Al Muhaidib Group

Sulaiman Al Muhaidib, Chairman of Al Muhaidib Group, said the group aims to launch the Alraie project in the fourth quarter of 2026.

The first phase of the project targets the production of one million sheep by 2030, with plans to increase production to two million in the subsequent phase, the Chairman told Argaam during the signing of a livestock financing agreement in Hail.

He added that achieving these targets would enhance operational efficiency, as increasing production volume improves performance and reduces costs.

This project has been a strategic goal for the group for years due to the importance of food security in Saudi Arabia, especially in the red meat sector, which currently faces a supply gap.

Regarding the project’s impact on prices and market stability, Al Muhaidib indicated that the biggest challenge lies in the absence of a fully integrated production model, as most existing players only cover part of the value chain.

Upon completion, Alraie will be a fully integrated company supplying 25,000 tons of red meat in its initial stages, rising to 50,000 tons later, meeting approximately 5% of the Kingdom’s demand. This will support the food security goals under Vision 2030.

Saudi Arabia currently needs around 500,000 tons of red meat, with a large portion being covered by imports, the Chairman said. "While imports are important, they present challenges such as financial loss, food security risks, and inconsistent availability," he noted.

Through this project, the group aims to contribute - at least partially - to strengthening national food security through developing an integrated industry, starting from feed production, genetic improvement of livestock, fattening, slaughterhouses, packaging, and marketing.

Such a comprehensive production chain is currently unavailable under a single company in the Kingdom, as different companies specialize in feed, fattening, slaughterhouses, and distribution.

The group aims to establish an integrated model similar to one in the local poultry and dairy sectors, where companies undertake the entire production process — setting them apart from global markets that mostly rely on cooperatives or fragmented operations, the Chairman concluded. According to Argaam data, NADEC announced today that its 51% owned subsidiary, Alraie National Livestock, signed an agreement with the Agricultural Development Fund (ADF) to finance an intensive livestock breeding and fattening project. Alraie

secured up to SAR 1.1 billion from ADF to finance the intensive livestock farming project, covering sheep and goat breeding and meat production.