To secure the increasing need of protein in West Africa,
Foras implements a $ 22m poultry project in Senegal
Foras International Investment Co. revealed its plan to implement a poultry production project, costing US$ 22 million in Dakar-Senegal.
The project aims at covering the supply gap in the healthy broiler products. It envisages establishing hygiene slaughter houses adopting slaughter techniques in compliance with the Islamic Shariah in its efforts to control prevailing poultry diseases caused by poor practices during the various stages of processing. The project is expected to bridge the supply gap in the country in particular and in the region of West Africa in general. So, it is classified as the largest poultry production project in this region.
It is an integrated project produces a wide range of poultry products, including (hatching eggs, a day-old chicks and broilers); poultry feed for livestock farmers in addition to selling both frozen and cold slaughtered in compliance to Islamic Shariah in a large-scale slaughter house of the project. The project is comprised of four sheds to raise parent broilers as indoor rearing, hatchery sheds, and five sheds for fattening broilers. Other buildings comprise the feed factory and the slaughter house. The production capacity of the project amounts to 4.8 million processed birds per year consumed through (hatching) and marketed after processing in the slaughterhouse. It also produces 36 thousand tons of poultry feed per year. Such project is considered as a pioneer investment in the Senegalese economy, as it has unique production techniques in comparison with the prevailing traditional techniques, in addition to its large space area.
The survey that is carried out by the company shows the lack of integration of the various production processes despite establishing some semi-automated farms in the urban areas of the country to cover the demand of the increasing population. However, the current farms do not use the modern techniques of poultry production and the national producers suffer from the low productivity of local breeds. The government is now importing the cheap imported poultry products to satisfy the local demand. Senegal’s poultry imports amounted to little more than 1,000 metric tons in 1999 reaching approximately 12,000 metric tons by 2003.
Foras outlined that Dakar had been selected as the project site due to its optimal environmental parameters as regards humidity and ambient temperature, its strategic location and its accessibility via paved roads and rail ways to the neighboring potential importers, in addition to its sea port that makes it accessible to the world ports. However, the local sector complains with weak domestic distribution channels which are controlled by unofficial retailers (about 75 %), i.e. without trademarks. The States of West Africa are faced with the challenge of how to provide cheap nutritious meals for the growing numbers of population. The company is in the process of preparing the detailed technical feasibility of the project that covers all the technical aspects beside the emphasis on site selection in accordance with the prevailing environmental conditions. In addition, the company shall implement the project plan based on the above parameters and in compliance with the standards and requirements of the state in relevance to similar investment projects. The company shall thereafter apply to obtain the final project approval from the relevant authorities. The project is expected to be implemented soon. During the first phase of the project it is expected to cover the local demand of the poultry products and in its final phase to satisfy the demand of the population in West Africa. According to the pre-feasibility study the project is expected to realize a net profit during its early stages and t o employ 400 persons in the various professions in addition to the seasonal labor requirements.
Foras owns 60% of the capital of the poultry project and the balance 40 % shall be contributed by the local business men. The company is in the process of carefully nominating the local strategic shareholders of wide experience in the field of natural poultry production. This integrated poultry project minimizes all risks of production except the rearing chicks that are imported, and so it maximizes the profitability and minimizes costs. The project contributes to increasing the poultry exports to the countries of West Africa such as Benin, Burkina Faso, Ivory Coast, Guinea, Mali, Togo and Niger. The Senegalese Government attracts the foreign investment by adopting a package of incentives beside non-discrimination of its laws against firms 100% owned by foreign investors in most economic sectors.
It is worth mentioning that Foras International Investment Co. is the investment arm of the ICCI. The company is a pioneer firm in the investing in the unique investment projects that are economically viable within the OIC countries. The designed capacity of the project is 4. 8 million broilers per year consumed through hatching and marketed after being processed in the slaughterhouse. The live weight of the bird is 1.75 kilogram in average. The project produces 4,100 tons of broiler m eat and 527 tons meat based chicken. The feed factory produces 36 thousand tons per year of feed and 36 thousand tons of poultry concentrates half of them are consumed in the poultry project and the rest shall be dispensed in the local market and neighboring countries. The project shall import commercial breeds characterized by a high feed conversion rate so as to gain live weight in the shortest period of time.
The project is summarized as follows: It comprises the station for parent stock broilers to produce fertilized eggs. It is one unit composed of 3 vertical sheds. The capacity per shed is 20,000 birds to produce 8 million fertilized eggs per year to produce broiler chicks. The project also includes the incubator and hatching unit to produce 1-day old chicks from the fertilized egg produced by the parent stock. The capacity of this unit is 90,720 chicks per day equivalent to 6 million chicks per year. The broiler fattening unit is composed of 5 closed sheds with a capacity of 3.6 birds per year. The project maintains the highest standard of safety measures during all stages of production through cleaning, ensuring the efficiency of cleansing before housing the chicks and tightening ways of supplying the operating requirements for the projects to ensure efficiency and quality
The Islamic Chamber of Commerce and Industry (ICCI) is an affiliated organ to the Organization of the Islamic Conference (OIC) and the only representative of the private sector in the Islamic World. It held 11 meetings since 1994 in 11 Islamic States for the sake of enhancing trade exchange volume, fostering the volume of joint investment projects amongst the States of the OIC, strengthening closer collaboration between public and private sectors in the Islamic countries, developing necessary mechanisms for more cooperation through networking, organizing and establishing projects amongst the OIC States.