Ghaddar Machinery opens factory in Jeddah

Targeting turnkey projects

Ghaddar Machinery, a local power solutions and generating set manufacturer, will soon open a $5 million factory complex in Jeddah, Saudi Arabia. Mohammad Ghaddar, Marketing Manager, said: “The reason behind our expansion in Saudi Arabia, is meeting the market needs there in a more efficient way, as we are available now as traders.”

Ghaddar said: “At a previous time the company was benefiting from the Arab Free Trade Agreement, where the products enter the Saudi market without paying Custom fees. Recently, Saudi Arabia considered the added value of our products manufactured locally less than 40 percent -- or not locally made -- and we were obliged to pay the Custom fees.”

The built-up area of the factory is 25,000 m2, and the total land is 70,000 m2, leased for 99 years. Construction works have been finalized, and the company is waiting for the official licenses to start operating.

The cost of investment in the project reached $5 million. The Jeddah facility is expected to create about 140 jobs. “The top management positions will be handled by Lebanese (staff),” said Ghaddar. He said that the majority of the staff will be Saudi.

“We are targeting turnkey projects. We will go for tenders to provide companies with power generation,” said Ghaddar.

Ghaddar Machinery is agent of Perkins engines and Leroy Somer alternators.