UAE’s Hotpack allots SAR1 billion for largest sustainable packaging plant in Saudi Arabia

Hotpack Global, hailing from UAE, has declared its ambitions to construct the world's biggest sustainable packaging plant in Saudi Arabia. The unit will encompass an area of 2.4 million square feet, and the complete materialisation of the project would take seven years, that too with a wholesome investment of SAR1 billion.

A memorandum of Understanding or MoU was forged between the concerned parties, allocating the investment through the Kingdom's Ministry of Investment and the Ministry of Industry.

The agreement was finalised during the ceremony organised at Riyadh's Ministry of Investment headquarters. Among important personalities were the deputy minister of industry and minerals, the deputy minister of investment, the group managing director and CEO of Hotpack and other senior associates.

The investment will enhance the company's international business making it the leader in producing packaging solutions in UAE. Hotpack Global mainly serves the food, agricultural and commercial sectors.

The high-technology equipped manufacturing unit will be scattered around an area of about 2.4 million sq. ft. The new UAE packaging facility will house futuristic machinery and industry 4.0 technologies, including cloud computing & analytics, Artificial Intelligence (AI), machine learning and the Internet of Things (IoT).

The CEO and Group Managing Director of Hotpack Global, Abdul Jebbar PB, exemplified: "We are excited to embark on this multi-phased project in Saudi Arabia. Availability of local raw materials, strong domestic consumption, export potential and government incentives have helped us to shape the project."

"Once completed, this will be the world's single largest manufacturing facility in the packaging industry to produce products from diverse raw materials such as paper, biomass, aluminium, and polymer. The proposed facility will help Hotpack increase its export by 30 to 35 per cent over the coming years. This facility also marks Hotpack's foray into the disposable medical products sector," he mentioned in a statement.

The Global Business Development Director, Mr Mike Cheetham, exclaimed: "Sustainable packaging will continue to be the cornerstone of our research, and we are collaborating with several global brands to help them transition to more sustainable options."

This new facility will benefit the region and align with UAE's Kingdom Vision 2030, employing over 1,200 heads after being fully optimised.

Hotpack currently inaugurated its largest production facility in Dubai, situated in the National Industrial Park, which rolls out Polyethyene terephthalate (PET) packaging solutions.