EkoNiva group explores strategic dairy investment in Algeria

ALGERIA – The EkoNiva group, Russia’s leading milk producer, has unveiled plans to invest in Algeria’s dairy sector with a delegation led by its CEO, Stefan Dürr, meeting with the management of the state-owned Giplait group, a key player in milk collection, processing, and distribution in the country.

Still in the exploratory phase, the discussions did not specify either the planned production capacities or the potential investment amounts.

According to the authorities, the aim of this merger is to develop farms organized according to modern technical standards, drawing on EkoNiva’s experience in managing large-scale farms and on Giplait’s industrial and logistical network.

Founded in 1994, the Russian group has developed an integrated model covering cattle breeding, feed production, and dairy processing, with over 630,000 hectares under cultivation and an annual raw milk production exceeding 1.35 million tons.

EkoNiva’s interest in the Algerian market is significant, given that Algeria is the leading African importer of dairy products.

Data compiled by the FAO (Food and Agriculture Organization of the United Nations) shows that Algiers imported an average of 431,270 tons of dairy products (milk powder, cheese, butter, etc.) per year between 2020 and 2024, with a peak of 452,812 tons recorded in 2022.

Over the period under consideration, the bill for these purchases made on the international market averaged USD 1.61 billion per year, with a peak of USD 2 billion recorded in 2022.

In this context, talks with EkoNiva, if they result in a concrete agreement or an investment project, will strengthen the capacities of the local industry, increase production and gradually replace imports.

Baladna Algeria signs US$500M contracts to kick-start dairy investment

The investment plan follows Baladna Algeria’s signing of initial contracts valued at over USD 500 million with a group of Algerian and international suppliers and consultants to boost the dairy industry in Algeria.

The contracts are part of the first phase of Baladna’s integrated agri-industrial project for powdered milk production in Algeria, which represents a total investment of US$3.5 billion.

The signed contracts cover a wide range of critical sectors, including agricultural technologies, production lines, irrigation equipment, water well drilling, steel and metal structure supplies, in addition to consultancy services in project management, topographic surveying, soil analysis, and environmental impact studies.

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