Domty invests $4m to install new line to double bakery capacity

By Gill Hyslop

- Last updated on GMT

Egyptian cheese producer Domty is expanding its baked goods production capacity. Pic: Domty
Egyptian cheese producer Domty is expanding its baked goods production capacity. Pic: Domty

Related tags Domty Egypt Amf bakery systems

Arabian Food Industries (Domty) is installing a new bakery line at its Cairo facility to double production capacity to cope with the growing popularity of its Domty Sandwich and to add new baked goods to its portfolio.

The Egyptian food giant is procuring the line from AMF Bakery Systems, a US manufacturer of high-speed bakery equipment.

The production capacity of the new line will be 400k pieces per day, which is double the capacity of the current line, and is expected to start operating in September 2019.

The $4m cost is being funded from the remaining cash proceedings from the capital increase that took place after the IPO in March 2016 – the IPO was oversubscribed by 10.718 times – in addition to Domty’s retained earnings.

The new line will be able to produce various types of baked goods, in addition to its recently launched Domty Sandwich.

The company’s first foray into the bakery area was launched in September this year, in six flavors, including four filled with Domty cheeses – Feta, Feta & Olives, Istanbolly and Creamy Cheese – and two sweet variants – Chocolate and Strawberry Jam.

According to Domty, its move into the field of baked goods and snacks is paying dividends, characterized by a higher gross profit margin compared to the rest of the company's products, including cheese and juice.

The company said the new line will also enable it to roll out new bakery products onto the Egyptian market next year.

Domty – founded in 1988 – is a leader in the Egyptian cheese and juice market. Today, the company’s product portfolio spans nearly 200 SKUs under the brand names Domty, Damo, Gebnety and Bravo.

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