Brazilian food firm inks Saudi supply deal
27/6/12 www.arabianbusiness.com
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A Brazil-based halal food manufacturer has announced plans to supply a range of products to Saudi Arabia.
Maricota brand products, made by Clap Foods, are about to enter supermarket shelves in Saudi Arabia after signing contracts to supply 300 tonnes of frozen products to Al Othaim Markets, a chain that operates in retail, wholesale and distribution of foods in the Gulf kingdom.
The contract includes the sale of cheese bread, pizzas, lasagne, kibbehs, chicken cakes, cheese biscuits and pancakes.
In 2011, Clap got halal certification for 37 items and this year participated in food trade show Gulfood, resulting in the company winning its first client in the region.
The company said it is also in negotiations to sign deals with companies in the UAE and Lebanon.
“We are in the third year of the company’s internationalisation project,” said Julio Cezar Ribeiro, international business director at Clap in comments published by the Brazil Arab News Agency.
“We aim, in five years, to have 20 percent of revenues coming from the foreign market,” he added.
Apart from Saudi Arabia, Clap has clients in the United States, Angola, Spain, France, Chile, Peru, South Africa and China. The order to Saudi Arabia will be delivered over a period of six months, Ribeiro added.
According to Ribeiro, Arab countries may represent a major share of the company’s future growth.
“The Arabs may represent at least 25 percent of exports. The potential is very large,” he said.
Clap Foods aims to reach revenues of $245m this year.
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Saudi Arabia need a good halal processed and un processed frozen food in volume the marketing is growing – the price tag is the main issue not effordable to common man – pan ready item can be popular if the price tag is attractive