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Reading: Solico Group invests Dh130 Million SoFood Facility in Jafza to boost UAE’s food manufacturing
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Home » Solico Group invests Dh130 Million SoFood Facility in Jafza to boost UAE’s food manufacturing
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Solico Group invests Dh130 Million SoFood Facility in Jafza to boost UAE’s food manufacturing

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Last updated: 2026/01/16 at 6:30 AM
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Dubai, UAE – Solico Group, a leading food industry conglomerate, has announced a significant partnership with DP World to establish a state-of-the-art food park within the Jebel Ali Free Zone. The agreement, signed on January 15, 2026, aims to enhance the food security of the UAE and the wider GCC region by streamlining the supply chain and fostering innovation in the food sector. This initiative represents a substantial investment in infrastructure and technology designed to support the growing demand for high-quality food products.

The new facility will span a considerable area within Jebel Ali, leveraging DP World’s extensive logistics network and Solico Group’s decades of experience in food processing and distribution. Representatives from both companies, alongside Rauan Zhumabek, the Ambassador of Kazakhstan to the UAE, and other key regional figures, were present at the signing ceremony. The project is expected to create numerous employment opportunities and contribute to the diversification of the UAE’s economy.

Boosting Food Security with a Dedicated Food Park

The primary driver behind this collaboration is the increasing importance of food security in a volatile global landscape. Recent geopolitical events and climate change impacts have highlighted vulnerabilities in international food supply chains, prompting governments across the GCC to prioritize domestic production and regional sourcing. This new food park is a direct response to that need, offering a secure and efficient hub for food-related businesses.

According to a recent report by the Ministry of Climate Change and Environment, the UAE imports approximately 80% of its food requirements. Reducing this reliance on imports is a key strategic objective, and the partnership between Solico and DP World is seen as a crucial step in achieving that goal. The facility will focus on attracting companies involved in the processing, packaging, storage, and distribution of a wide range of food commodities.

Key Features and Expected Benefits

The planned food park will incorporate several advanced features designed to optimize operations and minimize waste. These include temperature-controlled storage facilities, automated handling systems, and dedicated areas for research and development. DP World’s expertise in logistics and port operations will ensure seamless connectivity to regional and international markets.

Solico Group brings to the table its extensive network of suppliers and its deep understanding of consumer preferences in the GCC region. They specialize in a diverse portfolio of food products, including grains, oils, and processed foods. The integration of these capabilities will create a synergistic effect, benefiting all stakeholders involved. Furthermore, the project aims to promote sustainable agricultural practices and reduce the environmental footprint of the food industry.

The development is also expected to attract foreign direct investment (FDI) into the UAE’s food processing sector. By providing a world-class infrastructure and a supportive regulatory environment, the food park will position the UAE as a regional leader in food innovation and trade. This aligns with the UAE’s broader economic diversification strategy, moving away from a reliance on oil and gas.

The location within the Jebel Ali Free Zone offers significant advantages, including 100% foreign ownership, tax exemptions, and streamlined customs procedures. This makes it an attractive destination for international companies looking to establish a presence in the GCC market. The free zone’s proximity to major transportation routes, including ports, airports, and highways, further enhances its appeal.

While the initial focus will be on staple food commodities, the food park is also intended to support the growth of specialized food segments, such as organic produce and halal-certified products. This reflects the evolving dietary preferences of consumers in the region and the increasing demand for high-quality, ethically sourced food. The project also considers the growing trend of cold chain logistics, ensuring the safe and efficient transportation of perishable goods.

However, challenges remain. The success of the food park will depend on attracting a sufficient number of tenants and ensuring the availability of skilled labor. Competition from existing food processing facilities in the region will also need to be addressed. Additionally, ongoing monitoring of global food prices and supply chain disruptions will be crucial for maintaining the park’s competitiveness.

The partnership also aims to leverage technology to improve traceability and transparency throughout the food supply chain. This includes the implementation of blockchain solutions and the use of data analytics to optimize inventory management and reduce food waste. These initiatives are in line with the UAE’s commitment to digital transformation and sustainable development.

The Ambassador of Kazakhstan’s presence at the signing ceremony signals a potential for increased agricultural cooperation between the two countries. Kazakhstan is a major producer of grains and other agricultural commodities, and the UAE is a key market for these products. The food park could serve as a platform for facilitating trade and investment between the two nations.

The next phase of the project involves detailed planning and design, with construction expected to commence in the second quarter of 2026. The completion date is currently projected for late 2027, although this timeline is subject to change depending on various factors, including regulatory approvals and construction progress. Stakeholders will be closely watching the development of the infrastructure and the subsequent tenant acquisition process to gauge the project’s overall success.

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News Room January 16, 2026
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