US vertical farmer Plenty to expand in the Middle East
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The partnership’s first project in the GCC is an indoor vertical farm in Abu Dhabi, designed to grow more than two million kilograms of strawberries annually. This is expected to break ground early next year.
The joint venture plans to build five farms in the region over the next five years producing 4.5 million pounds of premium strawberries for local consumption and export within the GCC.
The Abu Dhabi farm will develop a year-round supply of berries with peak-season flavour for both the local UAE market and export to other GCC countries, replacing air freight and reducing food miles compared to current imports. The farm’s complete production of strawberries is already pre-committed to Plenty partner and global premium berry leader Driscoll’s, which will also contribute its proprietary genetics, global brand and extensive market experience.
“As part of our strategy to delight berry consumers around the world, we are excited to partner with Plenty and Mawarid on this pioneering project,” said Soren Bjorn, CEO of Driscoll’s. “The Gulf region and the United Arab Emirates specifically have long been great markets for Driscoll’s, and this project will help ensure we can meet the demands of consumers in this market into the future.”
According to Plenty, the new farm will be the world’s first commercial-scale vertical strawberry farm outside of North America, following the opening of Plenty’s first strawberry farm in Virginia later this year – also in partnership with Driscoll’s. Construction on the Abu Dhabi farm, which will be around 7,500 square meters (81,000 square feet), is targeted to be completed in late 2026.
Food security and premium strawberries
Kashif Shamsi, group CEO of Mawarid, said the JV is designed to improve food security in the region.
In the UAE, 80% of the land is desert and only 0.7% of the land is arable. Developing local food production is essential to creating a more sustainable and secure food system that gives communities access to fresher, more nutritious food. And in the GCC countries, which import more than 85% of their food, it is a key unlock to food security.
“Mawarid has increasingly focused on adopting cutting-edge technologies in support of the UAE mandate to build innovative food security capabilities,” said Shamsi. “Our global search for a sustainable solution to the challenges we face in the Middle East led us to the incredible team at Plenty. This joint venture enables us to leverage the most advanced farming technology in the world to grow local food supply throughout the GCC, beginning with our home market in Abu Dhabi, while preserving our precious natural resources.”
Vertical farms are promoted as a sustainable way to grow fruits and vegetables closer to the point of consumption while using less water. But the high costs associated with building and running new facilities have proved a significant barrier to scaling production. Funding for indoor farming has declined to just a fifth of its peak in 2021, according to PitchBook.
Plenty says its unique vertical tower design and proprietary technology sets it apart from other companies in the industry. Its farms use 20-foot-tall towers with plants growing on both sides, allowing for a higher crop density than traditional farming and other vertical farming methods.
Plenty claims it is currently building the world’s first vertical farm to grow strawberries indoors at scale near Richmond, Virginia, and the world’s largest vertical farming research center in Laramie, Wyoming.
“Plenty has built the most technologically advanced indoor farming platform aimed not only at meeting year-round consumer demand but making it possible to build a long-term food security infrastructure that can adapt to the needs of regions like the Middle East,” said Arama Kukutai, CEO of Plenty. “The Mawarid team’s extensive expertise with agriculture and land management in the Emirates makes them a great partner to meet these dual opportunities, in a region that has long been poised to benefit from the promise of indoor agriculture.”
Kukutai told Reuters that the company is targeting returns north of 20% which is significantly higher than traditional agriculture.