Saudi Arabia
2.7 Saudi Arabia Milling Assessment
Home

Overview

The Saudi Grains Organization (SAGO), previously named Grain Silos and Flour Mills Organization, was established by the Royal Decree No. M/14 issued on 25/3/1392 AH which was amended by the Royal Decree No. M/3 issued on 12/2/1406 AH. Subsequently, the Council of Ministers issued resolution No. 35 which approved taking the necessary actions to establish four joint-stock companies for flour mills, amending the name of the Grain Silos and Flour Mills Organization to be (Saudi Grains Organization) and reorganizing it. Therefore, the Council of Ministers’ resolution No. (328) was issued on 2/8/1437 AH to approve the establishment of the Saudi Grains Organization to manage the silos activity, running, development and improvement. In addition to the tasks of organizing, controlling and supervising the activity of flour-producing mills. In order to achieve its objectives, the organization has the following tasks:

  • Set up the silos and flour mills activity to become investment attractions for investors.
  • Implement the approved policies, plans and programs to improve the silos and flour mills activity, and adopt the appropriate procedures.
  • License the practice of silos and flour mills activity and monitor the licensed parties’ performance of their duties.
  • Set quality and safety standards regarding the silos and flour mills activity by coordinating with the related ministries and government entities and monitor the implementation of those standards.
  • Buy and sell wheat and create a reserve stock of wheat that meets the need of the kingdom and maintain its balance periodically.
  • Organize, control and supervise the silos and flour mills activity.
  • Control the wheat quality and the production of the flour milling companies.
  • Provide the required quantities of wheat to fully operate the flour milling companies according to the pricing policy suggested by the organization as an organizer of the silos and flour mills activity, and in accordance with the government’s market support policies.
  • Control the competition regulations in the field of services provision for soils and flour mills activity.
  • Protect consumers in matters related to the products of silos and flour mills.
  • Suggest pricing policy for the products of flour mills activity.

Privatization of flour mills

The flour milling sector represents one of the targeted sectors for full privatization under the Kingdom of Saudi Arabia's Vision 2030, and the as one of the initiatives under the third pillar of the privatization program document. The privatization of the flour milling sector enjoys the support of specialized regulatory and executive authorities led by the Ministry of Environment, Water and Agriculture, the NCP and related entities. The privatization had been completed for the four state-owned milling companies as following:

  • The First Milling Company is awarded to Raha AlSafi Consortium
  • The Second Milling Company is awarded to a consortium of Abdul Aziz Al-Ajlan Sons for Commercial and Real Estate Investments Company, Sulaiman Abdul Aziz Al-Rajhi International Company, National Agricultural Development Company and Olam International Limited.
  • The Third Milling Company is awarded to AlRajhi – Ghurair – Masafi Consortium.
  • the Forth Milling Company is awarded to the consortium comprised of Allana International, Abdullah Al Othaim Markets, and United Feed Manufacturing Company

For more information on milling company contact details, please see the following link: 4.6 Storage and Milling Companies Contact List.

First Milling Company (MC1)

First milling company (MC1) is one of the largest companies in the Kingdom in terms of production and sales of flour as well as the production of livestock feed and animal bran. The company has four branches in Jeddah, Al-Qassim, Tabuk and Al-Ahsa. In terms of production, the capacity of the silos is 210 thousand metric tons for all branches, while the daily operational capacity is 4200 tons.

Company Name and Address

Contact Names and  Email

Telephone and  Fax

First Milling Company (MC1)

Jeddah Islamic Port

Mohamed Ibrahim Alfawzan, General Manager

Email: info@mc1.com.sa

Web: http://www.mc1.com.sa/

Tel: (+966) 92 00 10375

Fax: (+966) 12 648 3433

Summary of Role and Services

  • Bakery Flour: The extraction is 80% of the wheat grain components, it’s used to make all varieties of different breads.
  • Superior Flour: The Extraction is 70% of the wheat grain components, it specializes with its pure white color. They use it in pastry baking and all kinds of sweets.
  • Superior Whole Wheat Flour: It is produced by mixing bakery flour (powder with semolina) It is used in creating traditional Saudi dishes.
  • Whole Wheat Flour: The extraction is 95% of the wheat grain components, and it is used to produce Arabic bread, long white bread, and toast. It’s also used in the Saudi cuisine.
  • Wheat germ
  • Animal feed

Facilities

Parking Area Inside Compound

Exists

Drainage

Good

Fire Fighting Equipment

Exists

Milling Equipment (Jeddah Mill)

Origin of Machinery

Year of Mfg

Year of Installation

Condition

Switzerland (Bühler)

1979

1979

Good – capacity 300 MT/Daily

Switzerland (Bühler)

1979

1979

Good – Capacity 450 MT/Daily

Switzerland (Bühler)

1979

1979

Good – Capacity 300 MT/Daily

Switzerland (Bühler)

1979

1979

Good- Capacity 450 MT/Daily – Upgraded in 2012

Switzerland (Bühler)

1985

1985

Good- Capacity 650 MT/Daily – Upgraded in 2017

Other Equipment or Machinery Installed

Type of Equipment

Available

Owned

Fortification Feeder

Yes

Yes

Bag Cleaning Plant

Yes

Yes

Moisture Tester

Yes

Yes

De-stoning Plant

Yes

Yes

Metal Extractor

Yes

Yes

Staffing

Number of Full Time Skilled Workers

878

Conditions & Cleanliness

  

Outside

Inside

Cracks in Walls or Roof

No 

No 

Signs of Rodent Activity

No 

No 

Signs of Birds Entry 

No 

No 

Damaged Gutters/Drains

No 

No 

Signs of Moisture 

No 

No 

Adjacent Vegetation

No 

No 

Cleanliness

Good

Good

Pest Control

Fumigation

Yes  

Spraying 

Yes  

Rodenticides 

Yes 

Rodent Trapping

Yes  

Security

Security

Good

Compound

Fenced

Access

Distance from Main Town (km)

 Jeddah Mill to Jeddah City: 0 km

Travel Time if not Located in Town (hours)

Jeddah Mill to Jeddah City 0.00 hrs

Road Condition to Mill

Good

Road Limitations (if any)

45 MT for 5 axle trucks, 35 MT for the 4 axle trucks & 21 MT for the double axle trucks

Milling Capacity

Commodities

Daily Capacity (MT)

Monthly Activity (MT)

Wheat

4200 MT

100,800 MT = 3360 MT Daily

Storage Capacity

Storage in Metric Tons

Wheat – Covered (MT)

Flour – Covered (MT)

Within the Compound

210,000 MT

30,000 MT

Second Milling Company (MC2)

Second milling company (MC2) is one of the largest companies in the Kingdom in terms of production and sales of flour as well as the production of livestock feed and animal bran. The company has three branches in Riyadh, Hail & Jazan. In terms of production, the capacity of the silos is 190 thousand metric tons while the daily operational capacity is 3700 tons for all branches.

Company Name and Address

Contact Names and Email

Telephone and Fax

Second Milling Company (MC2)

Old Kharj Road,P.O. Box 6847, Hay Al Manakh Riyadh, 11452 Saudi Arabia

Abdur Rahman Ar Rowaitea, Chief Executive Officer

Eng. Adel Algoher, Production Manager

Email: info@mc2.com.sa

Web: http://mc2.com.sa/

Tel: 8003040403

Fax: (+966) 11 495 1111

Summary of Role and Services

  • Bakery Flour: The extraction is 80% of the wheat grain components, it’s used to make all varieties of different breads.
  • Superior Flour: The Extraction is 70% of the wheat grain components, it specializes with its pure white color. They use it in pastry baking and all kinds of sweets.
  • Superior Whole Wheat Flour: It is produced by mixing bakery flour (powder with semolina) It is used in creating traditional Saudi dishes.
  • Whole Wheat Flour: The extraction is 95% of the wheat grain components, and it is used to produce Arabic bread, long white bread, and toast. It’s also used in the Saudi cuisine.
  • Wheat germ
  • Animal feed

Facilities

Parking Area Inside Compound

Exists

Drainage

Good

Fire Fighting Equipment

Exists

Other Equipment or Machinery Installed

Type of Equipment

Available

Owned

Fortification Feeder

Yes

Yes

Bag Cleaning Plant

Yes

Yes

Moisture Tester

Yes

Yes

De-stoning Plant

Yes

Yes

Metal Extractor

Yes

Yes

Staffing

Number of Full Time Skilled Workers

750

Conditions & Cleanliness

  

Outside

Inside

Cracks in Walls or Roof

No 

No 

Signs of Rodent Activity

No 

No 

Signs of Birds Entry 

No 

No 

Damaged Gutters/Drains

No 

No 

Signs of Moisture 

No 

No 

Adjacent Vegetation

No 

No 

Cleanliness

Good

Good

Pest Control

Fumigation

Yes  

Spraying 

Yes  

Rodenticides 

Yes 

Rodent Trapping

Yes  

Security 

Security

Good

Compound

Fenced

Access

Distance from Main Town- Riyadh  (km)

0.00 km

Travel Time if not Located in Town (hours)

0.00 Hours

Road Condition to Mill

Good

Road Limitations (if any)

45 MT for 5 axle trucks, 35 MT for the 4 axle trucks & 21 MT for the double axle trucks

Milling Capacity (All Branches)

Commodities

Daily Capacity (MT)

Monthly Activity (MT)

Wheat

3700 MT

111,000 MT

Storage Capacity (Riyadh)

Storage in Metric Tons

Wheat – Covered (MT)

Flour – Covered (MT)

Within the Compound

190,000 MT

28,000 MT

 

Third Milling Company (MC3)

Third milling company (MC3) is one of the largest companies in the Kingdom in terms of production and sales of flour as well as the production of livestock feed and animal bran. The company has three branches in Khamis Mushait, Al-Jawf & Al-Jumum. In terms of production, the capacity of the silos is 185 thousand metric tons for all branches, while the daily operational capacity is 3450 tons.

Company Name and Address

Contact Names and  Email

Telephone and  Fax

Third Milling Company (MC3)

Khamis Mushait / Al-Anad Road

PO Box 15027, Khamis Mushait – 61961

Name: Eng. Atef Al Sultan

Title: Executive manager

Email: info@millingcompany3.com

Web: https://millingcompany3.net/

Tel: (966) 017-235-9186

Fax: 0172501539

Summary of Role and Services

  • Bakery Flour: The extraction is 80% of the wheat grain components, it’s used to make all varieties of different breads.
  • Superior Flour: The Extraction is 70% of the wheat grain components, it specializes with its pure white color. They use it in pastry baking and all kinds of sweets.
  • Superior Whole Wheat Flour: It is produced by mixing bakery flour (powder with semolina) It is used in creating traditional Saudi dishes.
  • Whole Wheat Flour: The extraction is 95% of the wheat grain components, and it is used to produce Arabic bread, long white bread, and toast. It’s also used in the Saudi cuisine.
  • Wheat germ
  • Animal feed

Facilities

Parking Area Inside Compound

Exists

Drainage

Good

Fire Fighting Equipment

Exists

Milling Equipment

Branch

Origin of Machinery

Year of Mfg

Year of Installation

Condition

Khamis Mushait

Switzerland (Bühler)

1981

1981

Good – 450 MT

Switzerland (Bühler)

1981

1981

Good – 600 MT

Switzerland (Bühler)

1981

1981

Good – 600 MT

Al-Jumum.

Switzerland (Bühler)

2004

2004

Good – 600 MT

Switzerland (Bühler)

2014

2014

Good – 600 MT

Al-Jawf

Switzerland (Bühler)

1986

1986

Good – 600 MT

Other Equipment or Machinery Installed

Type of Equipment

Available

Owned

Fortification Feeder

Yes

Yes

Bag Cleaning Plant

Yes

Yes

Moisture Tester

Yes

Yes

De-stoning Plant

Yes

Yes

Metal Extractor

Yes

Yes

Staffing

Number of Full Time Skilled Workers

725

Conditions & Cleanliness

  

Outside

Inside

Cracks in Walls or Roof

No 

No 

Signs of Rodent Activity

No 

No 

Signs of Birds Entry 

No 

No 

Damaged Gutters/Drains

No 

No 

Signs of Moisture 

No 

No 

Adjacent Vegetation

No 

No 

Cleanliness

Good

Good

Pest Control

Fumigation

Yes  

Spraying 

Yes  

Rodenticides 

Yes 

Rodent Trapping

Yes  

Security

Security

Good

Compound

Fenced

Access

Distance from Main Town- Asser  (km)

23 KM – Asser Mesheet

Travel Time if not Located in Town (hours)

0.25 Hours

Road Condition to Mill

Good

Road Limitations (if any)

45 MT for 5 axle trucks, 35 MT for the 4 axle trucks & 21 MT for the double axle trucks

Milling Capacity (all branches)

Commodities

Daily Capacity (MT)

Monthly Activity (MT)

Wheat

3450 MT

103,500 MT

Storage Capacity (all Branches)

Storage in Metric Tons

Wheat – Covered (MT)

Flour – Covered (MT)

Within the Compound

185,000 MT

24,900 MT

Fourth Milling Company (MC4)

  • 1972 The Saudi Grains Organization was established, and its key goals were set around.
  • Establishing and operating grain silos, flour and feed mills in the aim of developing the grain, flour and feed industry
  • Purchasing and importing grains as well as ensuring required reserves to cater for emergency situations
  • 1977 SAGO opened the Dammam branch.
  • 1989 SAGO opened the Kharj branch.
  • 2008 SAGO opened the Madina branch.
  • 2009 SAGO launched its privatization program aiming to increase operational efficiency, improve fiscal performance, support economic growth and enhance operational technology.
  • 2011 The Supreme Economic Council – SEC (previously) endorsed SAGO’s privatization strategy to bundle all milling operations under four companies; for Milling Company 4 (MC4), it involved bundling the Dammam, Kharj and Madina branches MC4 commenced operations as a standalone entity operating on commercial bases in preparation for privatization.


Company Name and Address

Contact Names and  Email

Telephone and  Fax

Milling Company 4 (MC4)

HEADQUARTER ADDRESS

King Abdulaziz Sea Port

Beside Saudi Food & Drug Authority

Dammam Saudi Arabia

Name: Eng. Hamad bn Mohammed Al Qahtani

Title: Executive manager

Email: info@millingcompany4.com

Web: https://www.millingcompany4.com/

Tel: +966-13-8299010

Fax: +966-13-8299011

Summary of Role and Services

  • Bakery Flour: The extraction is 80% of the wheat grain components, it’s used to make all varieties of different breads.
  • Superior Flour: The Extraction is 70% of the wheat grain components, it specializes with its pure white color. They use it in pastry baking and all kinds of sweets.
  • Superior Whole Wheat Flour: It is produced by mixing bakery flour (powder with semolina) It is used in creating traditional Saudi dishes.
  • Whole Wheat Flour: The extraction is 95% of the wheat grain components, and it is used to produce Arabic bread, long white bread, and toast. It’s also used in the Saudi cuisine.
  • Wheat germ
  • Animal feed

Facilities

Parking Area Inside Compound

Exists

Drainage

Good

Fire Fighting Equipment

Exists

Milling Equipment

Branch

Origin of Machinery

Year of Mfg

Year of Installation

Condition

Dammam

Switzerland (Bühler)

1977

1977

Good – 450 MT

Switzerland (Bühler)

1977

1977

Good – 450 MT

Switzerland (Bühler)

1977

1977

Good – 450 MT

Madina Al Munawra

Switzerland (Bühler)

2008

2008

Good – 600 MT

Switzerland (Bühler)

2008

2008

Good – 600 MT

Al Kharj

Switzerland (Bühler)

1989

1989

Good – 600 MT

Other Equipment or Machinery Installed

Type of Equipment

Available

Owned

Fortification Feeder

Yes

Yes

Bag Cleaning Plant

Yes

Yes

Moisture Tester

Yes

Yes

De-stoning Plant

Yes

Yes

Metal Extractor

Yes

Yes

Staffing

Number of Full Time Skilled Workers

300

Conditions & Cleanliness

  

Outside

Inside

Cracks in Walls or Roof

No 

No 

Signs of Rodent Activity

No 

No 

Signs of Birds Entry 

No 

No 

Damaged Gutters/Drains

No 

No 

Signs of Moisture 

No 

No 

Adjacent Vegetation

No 

No 

Cleanliness

Good

Good

Pest Control

Fumigation

Yes  

Spraying 

Yes  

Rodenticides 

Yes 

Rodent Trapping

Yes  

Security

Security

Good

Compound

Fenced

Access

Distance from Main Town-  Dammam  (km)

17 KM

Travel Time if not Located in Town (hours)

20 Minutes

Road Condition to Mill

Good

Road Limitations (if any)

45 MT for 5 axle trucks, 35 MT for the 4 axle trucks & 21 MT for the double axle trucks

Milling Capacity (all branches)

Commodities

Daily Capacity (MT)

Monthly Activity (MT)

Wheat

3150 MT

94,500 MT

Storage Capacity (all Branches)

Storage in Metric Tons

Wheat – Covered (MT)

Flour – Covered (MT)

Within the Compound

140,000 MT

22,000 MT

 

 

 

Jump to top