Baladna, Algerian Government and GEA partner to build milk powder facility

August 4, 2025 | Africa

GEA has been mandated to provide a full suite of solutions, including dairy farming and milk processing equipment, process design, and engineering services In a landmark agreement, Baladna Q.P.S.C., one…

GEA has been mandated to provide a full suite of solutions, including dairy farming and milk processing equipment, process design, and engineering services

In a landmark agreement, Baladna Q.P.S.C., one of Qatar’s leading dairy and food producers, has partnered with the Algerian Government and global technology group GEA to develop the world’s largest integrated dairy farming and milk powder production facility in Algeria’s Adrar province.

At a formal signing ceremony held in Algiers, GEA CEO Stefan Klebert joined officials from Baladna and the Algerian government to finalise the contract. The project aims to significantly enhance Algeria’s food security by reducing its reliance on imported dairy products, especially milk powder, of which the country is currently the world’s third-largest importer.

GEA has been mandated to provide a full suite of solutions, including dairy farming and milk processing equipment, process design, and engineering services. With an estimated order volume between €140 and €170 million, this project ranks among the largest single orders in GEA’s history. The company expects to book the order intake in the second half of 2025.

Construction of the state-of-the-art facility is set to begin in early 2026, with initial milk powder production planned for late 2027. Gradual scale-up of production will follow, ultimately targeting an annual capacity of around 100,000 tons. Once operational at full capacity, the plant is expected to meet approximately 50 per cent of Algeria’s domestic milk powder demand.

The joint venture, Baladna Algeria S.P.A., formed between Baladna and Algeria’s National Investment Fund, will oversee financing and management of the project. In addition to advancing Algeria’s dairy self-sufficiency, the initiative is also poised to generate approximately 5,000 jobs for local workers, fostering long-term socioeconomic benefits for the region.

“This project represents a bold and forward-looking investment in food autonomy and economic development,” said Stefan Klebert, CEO of GEA. “We are proud to be at the heart of such a transformative initiative, delivering not only our leading technologies but also our expertise in large-scale plant engineering.”

The facility, located around 90 kilometres from the provincial capital of Adrar, is expected to become a model for integrated, sustainable dairy production in the region.

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