Aller Aqua Group A/S, based near Christiansfeld, Denmark, is one of Europe’s largest manufacturer of fish feed. The company is expanding its capacity - this time in Egypt. Aller Aqua Egypt aims to be Egypt’s largest fish feed manufacturer.
In 2011, Aller Aqua Group, in cooperation with IFU (Investment Fund for Developing Countries), bought the majority of an Egyptian owned family company; it is now investing a sum in the double digit million range (DKK) in tripling the factory’s existing capacity, to form Aller Aqua Egypt, which is the new name of the Egyptian company, which will be the largest manufacturer of extruded fish feed in Egypt.
The new factory will be built during 2013 on a 6000 m2 plot of land bought a few years ago, and is positioned next to the existing factory.
\"During 2012 we have optimized the existing factory as much as possible. We have been well received by the Egyptian fish farmers, who we have been able to help and support with our knowledge and products, so they can optimize productivity and improve the environment\", Henrik Halken, Chairman of the Egyptian company said.
\"The momentum we have created in Egypt now forms the base for the expansion.\"
Egypt is a challenging market, Halken acknowledged. \"We are well established in Egypt; we have good daily management with a great deal of experience and a positive drive. The management is also a joint-shareholder and therefore has an increased interest in succeeding\".
\"Since our first trip to Egypt in 2009, there has been a lot of political activity in the country. We experience daily challenges, which for us Danes are completely incomprehensible. As an example it can be mentioned that it can sometimes take up to three days to get fuel for the lorrys transporting raw materials to the factories – challenges like these demand excellent planning\", Halken said.
\"Currently the economic challenges that Egypt is facing proves challenging, as does the Egyptian population\", he said.
\"Running a business in Egypt demands that we are present on a frequent basis, that we are close to our customers, and that we allocate the necessary resources to educate and train our customers, as well as our staff. For these challenges a skilled local management is crucial!
However, we believe in the market and in a bright future for Aller Aqua Egypt.\"
Halken said the project had received a great interest from the politicians: \"so much so that last November we had the pleasure of a visit from the Minister for Development Cooperation, who we were able to show the factory, and explain further about our plans. Also the local politicians and authorities have shown a great deal of interest\".
Since the starting fish feed production nearly 50 years ago, Aller Aqua has been constantly expanding. Besides the factory in Christiansfeld, a mill was bult in Poland in 2001 and in Germany in 2007. The plant in Germany consist of Aller Aqua Group’s most modern aquafeed mill, as well as a factory for the production of protein and starch products.
Hans Erik Bylling, majority shareholder and CEO of Aller Aqua Group, explained that the company today sell fish feed to over 50 countries worldwide.
\"We have a clear and concise strategy in Aller Aqua, which will bring us further growth over the coming years – the investments we are now making in Egypt is one of the tools, paired with continued growth in our existing markets\".
\"Presently we are challenged by the ever rising prices of raw materials, and at times the scarcity of these. This is the reason for us making even more resources available to research the use of alternative raw materials, so we can help ensure the continued growth of aquaculture.
\"Today aquaculture is the world’s fastest growing food sector – more than half of the fish consumed globally today are farmed and therefore we naturally focus on expanding our activities in the global growth markets\", Hans Erik Bylling concludes.
Photo: from right to left: Mr.Anders Paludan-Müller from IFU (Board member), Mr. Henrik Halken from Aller Aqua Group (Chairman), Mr. Hussien Mansour from Aller Aqua Egypt (CEO and boardmember), Mr. Carsten Jørgensen from Aller Aqua Group (Boardmember).
