Blumberg in the News

Blumberg Grain was featured in an Ahram Online article titled Egypt will launch new wheat storage system next week. An excerpt follows:

Egypt will launch a new grain storage system next week, in the hope of reducing by a quarter the amount of wheat wasted annually, Supply Minister Khaled Hanafy announced on Tuesday.

The government signed an agreement with Blumberg Grain in December to replace 93 local wheat barns with food security technology and systems.

The new storage system will save Egypt an estimated LE1 billion annually, the US-based global food security company said.

The Army Engineering Authority, Egyptian Holding Company for Silos and Storage and the supply ministry are collaborating with Blumberg Grain to complete the project by the next harvest season in April.

To read the full article, click here. For more news and information, visit Blumberg Partners.

Blumberg in the News

Blumberg Grain was featured in a CovAfrica article this week titled Egypt and Blumberg Grain Launch World's Largest Integrated Food Storage System, heralding the forthcoming construction of the world's largest integrated food storage system for grain. Launching this April, the 93 sophisticated wheat storage facilities across Egypt that will process 3.7 million tons annually and store 750,000 tons of wheat, saving Egypt approximately $200 million annually, in addition to creating jobs within Egypt's agricultural center. An excerpt from the article follows:

Egypt is the world's largest importer of wheat, as well as Africa's largest wheat producer. The country is intensely vulnerable to fluctuating international food prices, yet it commonly endures post-harvest grain losses of over 40% due to spoilage occurring in traditional, open-air "shouna" storage facilities. Blumberg specializes in the development of cost-effective, efficient storage systems that aim to reduce post-harvest losses to 5% or less. The new storage network will increase profitability and food security by storing, cleaning, and bagging grain products in climate-controlled, secure facilities throughout Egypt.

Following the political unrest that consumed Egypt in 2011, addressing Egypt's food security concerns through infrastructure development proved especially challenging. However, under the leadership of President Abdel Fattah Sisi and the Ministry of Supply and Internal Trade, infrastructure investment has become an increasing priority, and the government is open to investment partnerships. Under Blumberg's $28 million contract with the Egyptian government, the Egyptian army will build at least 93 wheat storage facilities using Blumberg technology; the contract provides for project expenditures of up to $56 million, and the modernization of up to 164 shounas in total.

In addition to revamping Egypt's wheat storage system, Blumberg Grain also plans to build logistics centers for perishable produce across Egypt that will leverage cutting-edge technology to maximize the longevity of perishable produce. Lastly, the company plans to build a $250 million manufacturing plant and export hub that will produce food security technology and equipment for the Middle East and North Africa (MENA) region. While competition for this contract has yet to conclude, the company has stated that Egypt is well-positioned to gain the manufacturing plant and related processing and packing facilities. The plant will create approximately 1,000 new jobs; KPMG estimates that the initiative will have a $1 billion economic impact during its first year, and a $7 billion impact over a five year period.

To read the full article, click here. For more news and information visit Blumberg Capital Partners.

Blumberg in the News

Blumberg Grain was featured in an article this weekend titled "Sisi with the Head of Blumberg for 3 projects for the storage of grain and fruit" which summarizes a meeting in which President Abdel Fattah Sisi met with Philip Blumberg, Dr. Khalid Al-Hanafi, Minister of Supply and Internal Trade, David Blumberg, Managing Director of Blumberg Grain West Africa, and Christian Rath, Senior Vice President of the Blumberg Grain company. An excerpt follows:

The meeting was aimed at review and discuss three major projects, including the creation of the company's first factory for storage technology in the Middle East, which will serve the local market, and targets integration with the national project of the giant development axis at the Suez Canal, as well as providing opportunities to export to the Arab countries and African countries, where the project will the world's largest in its field, and direct investments worth 100 million dollars.

It also included discussions on project to replace the storage barns (dirt shounas) with Blumberg's modern and advanced technology, which are specially designed to suit the conditions of production and circulation, which is used to store grain and wheat, providing more than 30% of grain crops, ie, 1.2 million tons, which was being wasted due to the poor conditions of storage and handling, and a total cost of 1.7 billion pounds.

The third project would seek to establish a ten areas of logistics, as a first stage, for the purpose of processing, storage and preservation of agricultural products, grains, vegetables and fruits, to avoid wastage of 40% of these crops, as well as the opportunity to control prices by storing these products, and re-launched in the market to set prices and control expensiveness. Note that these three projects were under consideration at the Ministry of Supply and Internal Trade, during the past three months.

To read the full article, click here (for the original Arabic version, use this link). For more news and information visit Blumberg Capital Partners.