Algeria, Qatar Collaborate to Expand Ambitious ‘Baladna’ Project to Infant Milk Production

✏️ BY: Dr. Hana Saada

Algiers, Algeria | September 12th, 2024 — Algeria is taking a significant step towards self-reliance in the dairy industry through a promising partnership with Qatar, aimed at expanding the scope of the colossal ‘Baladna’ project to include infant milk production. During a high-level meeting on Thursday in Algiers, the Algerian Minister of Industry and Pharmaceutical Production, Ali Aoun, met with Qatar’s Ambassador to Algeria, Abdulaziz Ali Naama, and Ali El-Ali, a senior advisor of the Qatari company Baladna. Discussions focused on the potential for extending the current project beyond powdered milk production to address the critical need for infant formula in Algeria.

In this meeting, the Qatari side presented its formidable capabilities in producing infant milk and reaffirmed its readiness to implement the project on Algerian soil. Minister Aoun assured the Qatari delegation that “the Algerian state will provide every necessary guarantee to ensure the success of this venture,” underscoring the importance of speeding up its execution. He issued firm instructions to fast-track the implementation of this strategic project, which would have wide-reaching benefits for Algeria’s economy and public health.

A memorandum of understanding between the two parties is set to be signed before the end of the month. This agreement will formalize the development of the infant milk production project, which is expected to gradually reach a capacity of 30,000 tonnes. The initiative is part of a broader integrated Algerian-Qatari effort to ramp up the production of powdered milk, contributing significantly to Algeria’s food security.

This expansion builds on an agreement signed in April between the Algerian Ministry of Agriculture and Rural Development and Baladna, which laid the foundation for a comprehensive project to produce powdered milk in southern Algeria. Construction work for the first phase of this large-scale initiative, spanning 117,000 hectares in Timokten, Adrar, commenced in early September.

The first production phase of this massive partnership between Algeria’s National Investment Fund (FNI) and Baladna, involving an investment exceeding $3.5 billion, is slated for completion by 2026. Once operational, the project is projected to meet 50% of Algeria’s domestic demand for powdered milk. It will also bolster the local market by supplying high-quality red meat and create 5,000 direct jobs, in addition to stimulating cereal and animal feed production through innovative crop rotation systems across the project’s three key hubs.

The ‘Baladna’ project will be implemented in multiple stages, starting with exploratory drilling to assess underground water sources and devising innovative mechanisms to conserve water for this vital endeavor. The next steps include cereal cultivation to produce feed for dairy cattle, the establishment of livestock farms for both milk and red meat production, and ultimately the construction of a state-of-the-art powdered milk factory.

At the heart of this initiative is an integrated farm that will host over 270,000 heads of cattle, expected to produce an impressive 1.7 billion liters of milk annually. The project will leverage cutting-edge technology in dairy farming and milk production while adhering to the highest international standards of quality and environmental sustainability.

Beyond the direct employment of 5,000 workers, the project is poised to create 10,000 temporary jobs during the construction phase of living quarters and project infrastructure. The project’s developers are also planning future expansions across other regions of Algeria, with a focus on increasing the cultivation of animal feed, expanding livestock operations, and boosting both milk and red meat production.

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