GEA secures contract for world’s largest integrated dairy facility in Algeria
GEA Group has secured one of its largest contracts to date, worth €140-170 million, to construct the world’s largest integrated dairy farm and milk powder production facility in Algeria. The project, developed in partnership with Qatari dairy producer Baladna and the Algerian Government, aims to significantly enhance Algeria’s food security through domestic milk powder production.
Strategic partnership addresses critical food security needs
Algeria currently ranks as the world’s third-largest importer of milk powder, creating substantial dependency on international markets. The new facility, to be constructed in Adrar province approximately 90 kilometres from the provincial capital, represents a strategic initiative to achieve greater self-sufficiency in dairy products.
The partnership between the Algerian Government’s National Investment Fund and Baladna Q.P.S.C. from Qatar has established Baladna Algeria S.P.A. as the project vehicle. When fully operational, the facility will produce approximately 100,000 tonnes of milk powder annually, meeting roughly 50% of Algeria’s national requirements.
Stefan Klebert, CEO of GEA. At a formal event in Algiers, Baladna, the Algerian Government, and GEA signed an initial contract to build the world’s largest integrated dairy farm and milk powder facility in Algeria. Representing one of the biggest single orders in GEA’s history, the project is set to begin production in late 2027.
“We are proud that Baladna and the Algerian government are entrusting GEA to play a key part in this lighthouse project,” said Stefan Klebert, CEO of GEA. “Not only are we building the world’s largest facility of its kind – we are also helping to strengthen regional food security and economic development.”
Comprehensive technological integration across dairy value chain
GEA’s contract encompasses the complete milk powder production value chain, from dairy farming infrastructure through to final product packaging. The project leverages technologies from multiple GEA divisions, with Liquid & Powder Technologies (LPT) and Farm Technologies (FT) serving as primary contractual partners.
The technical scope includes advanced milking parlour systems, milk powder processing equipment, and anhydrous milk fat production capabilities. Key technological components comprise separators, membrane filtration systems, heat treatment facilities, evaporation units, and spray drying installations, complemented by automated packaging solutions.
Production timeline
Construction is scheduled to commence in early 2026, with initial milk powder production targeted for late 2027. The facility will implement a phased approach to production scaling, gradually expanding output volumes over subsequent years.
Beyond its food security implications, the project is expected to generate approximately 5,000 employment opportunities for local personnel, contributing significantly to regional economic development.
“This engagement with GEA marks a milestone in the acceleration of the project. We are proud to attract the most prominent national and international expertise and renowned companies from all over the world to contribute to the completion of the project, following the highest international standards,” commented Mohamed Moutaz Al-Khayyat, Chairman of Baladna.
Industry significance
The contract signing ceremony took place on 28 July at the Congress International Centre in Algiers, attended by senior government officials including Algerian Minister of Agriculture Youssef Cherfa and Qatar’s ambassador to Algeria, Abdelaziz Ali Al-Naama.
GEA’s order intake for this project will be recorded in the second half of 2025, with the contract value ranging between €140-170 million. The project builds upon GEA’s established expertise in large-scale dairy facilities across international markets, including previous installations in India, China, Qatar, and Ireland.
This development reinforces the growing trend towards regional food security investments and highlights the increasing scale of dairy processing infrastructure projects globally.
- For more information, visit: gea.com
