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11/11/2010 - Issue 45
Rihanna Industries: Role model for Agricultural Investment
by Muhammad Bassiki
Jihad al-Weis, CEO of Rihanna Industries talks to Forward about investing in the agricultural field
Marked by its official launch last August, Rihanna is one of the first Syrian companies to venture into agricultural investment. Although the mother company was established in 1920 by the grandfather of Fida al-Weis, Mustafa – who owned a small candy and caramel shop - it was later expanded by his grandson to become the biggest candy factory in Syria.
Could you tell us about the company and how it started?
The company was established in the late 1980s; my family started its first agricultural expansion in Syria by setting up a glucose factory in Aleppo, which required the purchase of starch used for glucose. But at the time there were no glucose factories in the Middle East, and they had to import, and so, the idea to establish a factory themselves came to light.
Establishing a factory meant that they needed to produce feed for their cattle, and from that point on, they became one of the biggest feed producers in Syria.
What enticed your company to expand in agriculture in Syria?
We witnessed a rise in demand and subsequently in pricing of feed in 2005. So farmers began selling their cows and turning them to meat as they were unable to produce milk. And this was a problem that wasn’t only faced by the Syrian market, but by the regional ones as well, and this led us to invest in farming and in milk production.
Rihanna Industries farms currently have around 1000 cows, and its new venture into their new factory in Aleppo Suburb will include 2000 extra heads with the cost of a billion for the cattle and the farming lands, while an additional 1.5 billion SP will be spent on the site and its installation.
How will the new farm influence the local communities?
This project will have a positive local development influence, as it will provide about 600 jobs for its local community members, but more importantly, we will be providing feed and expertise for the local farmers, for the exchange of milk.
What products will be offered?
The products to be offered in the local market will start with fresh sterile milk, served in 1 liter packs, 0.5 liter packs, and 20 milliliters packs for kids – those will have a 6 month validity date.
The factory will be using the UHT international technology, where the milk will be boiled in 135 degrees Celsius temperature for 4 seconds to rid it of bacteria, and then it will be cooled for 4 seconds to be then stored in sterile containers valid for 6 months.
In your opinion, what are the difficulties faced by those desiring to invest in agriculture locally?
At the beginning, Rihanna couldn’t find scientific advanced expertise in agricultural technology, which forced the company rely on foreign scientists. Additionally, there is a law forbidding the import of cows, so local cows had to be habilitated for milk production. Nonetheless, all the problems had been tackled, and Rihanna will be able to turn Syria into a milk-exporting country soon.
