Home Business Cargill to expand its footprint in Pak with over $200m investment

Cargill to expand its footprint in Pak with over $200m investment


News Desk |

US-based food and agriculture giant Cargill has announced its plans to invest more than USD200 million in Pakistan in the next three to five years. Cargill’s global executive team led by Asia Pacific region Chairman Marcel Smiths and Cargill Agricultural Supply Chain President Gert-Jan Van Den Akker met Prime Minister Imran Khan in Islamabad on Thursday to discuss the company’s future investment plans.

Cargill has been doing business in Pakistan since 1984. It has been among the largest importers of palm oil into Pakistan and exporters of raw cotton from Pakistan. The company’s proposed investments are expected to support Pakistan’s overall economic development and generate employment.

Saudi Arabia is also expected to invest $10 billion and set up an oil refinery in Gwadar. The agreement is likely to be signed between the two countries during the upcoming visit of Saudi Crown Prince Muhammad bin Salman next month. 

The company’s strategy includes expansion across agricultural trading and supply chain, edible oils, dairy, meat, and animal feed businesses while ensuring safety and food traceability. The company plans to expand its footprint by supporting the country‘s flourishing dairy industry, catering to the rising demand for edible oils and animal feed.

According to a press release by the Prime Minister’s Office, Cargill intended to invest in Pakistan as far back as 2012. The prime minister welcomed the company’s proposed plans for investment in the area of agriculture development, import substitution and enhancement of agricultural products.

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He also highlighted the government efforts towards ensuring transparency, providing the business community with a level playing field and improving ease of doing business in the country. He assured the visiting delegation of the government’s full support.

Foreign companies have increasingly expressed their interest in investing in Pakistan in recent months. Last week, a delegation of Tabeer Energy Marketing, a subsidiary of Mitsubishi Corporation, met Minister for Petroleum Ghulam Sarwar Khan to discuss investment in Pakistan’s gas sector.

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Saudi Arabia is also expected to invest $10 billion and set up an oil refinery in Gwadar. The agreement is likely to be signed between the two countries during the upcoming visit of Saudi Crown Prince Muhammad bin Salman next month.