Usher Agro Limited through its 100% subsidiary Usher Worldwide FZE and Prime Trading LLC signed a Joint Venture Agreement with Al Mada Project Management Company and Sohar Food Cluster Company LLC for setting up rice and pulses storage, processing and packaging facility at Port of Sohar. Alpen Capital India Private Limited acted as the sole financial advisor to Usher Agro Limited on this project.
The initial facility will be setup at a total estimated project cost of US$40 million and will contain polishing, grading, blending and packaging unit for 100,000 TPA of premium long grain rice including basmati rice and a state-of-the-art milling unit for 100,000 TPA of pulses.
The facility will also contain 25,000 TPA of rice fortification plant under the patented technology provided by PATH – a non-profit organization supported by Bill and Melinda Gates Foundation. The rice will be fortified with vitamins and minerals to address nutrition requirements and is envisaged to be sold as a premium product and also supplied to the government for welfare activities in the wider MENA region.
The basmati rice products of the facility will be distributed within MENA countries whereas pulses products from the facility will be distributed in India and MENA Countries. The parties expect to commence the operations of the facility by end of FY2016.
The proposed food logistics & processing hub at the Port of Sohar (SIPC) will provide a unique opportunity for the new Joint Venture in a strategic location, capitalizing on direct access to agro/food berth and proximity to many export markets in the GCC and the MENA region”, says Mr. Essa Al Ghurair, Promoter & Managing Director, Sohar Food Cluster Company LLC
“We are delighted to partner with Mrs. Manal Abdwani of AMPMC and Mr. Essa Al Ghurair of SFCC to set up a rice and pulses distribution hub at Port of Sohar. India is the largest exporter of rice and net importer of Pulses. The Joint Venture Company aims to participate in this two-way trade with Port of Sohar as hub. We are confident that this project once launched will help in food security efforts of the region and contribute to the creation of significant shareholder value. “says Dr. Vinod Kumar Chaturvedi, Promoter and Managing Director, Usher Agro Limited
“We are extremely delighted that all parties have come to a mutually beneficial agreement to commence the execution of this project. We are proud to be associated with AMPMC, SFCC and Usher Agro Limited and hope that our expertise in the GCC-India corridor will add value to this landmark project at Port of Sohar.” says Rohit Walia, Executive Chairman, Alpen Capital India Private Ltd and Alpen Capital (ME) Limited.