Doha: Representatives of 21 private companies which have applied for franchise licence to implement four greenhouse projects visited the project site yesterday.
The four greenhouse projects located at Al Markhiya Al Janoobiya area are being offered by the Ministry of Economy and Commerce (MEC) in cooperation with the Ministry of Municipality and Environment (MME) with the aim of promoting food security and production of high quality fresh vegetables and fruits.
The visit was arranged by the Technical Committee for the Promotion of Private Sector Engagement in Economic Development Projects of MEC. The investors were there to see the nature of the land allocated for the projects, and facilities provided by the government including nominal rents and services to reform the lands.
The first Agrocluster project in the country is feasible but needs a group of investors away from monopoly or a single investor because along with the services provided by the government, the project needs capital to introduce sophisticated technology and produce high quality products, said prominent Qatari businessman Ahmed Al Khalaf (pictured).
For success and materialization of this significant initiative, government intervention and support is crucial, he said, not only in providing infrastructure services like water, electricity and roads but also there is a need for support in land reclamation, providing with soft loans and marketing.
Al Khalaf pointed out that “if the national agricultural products are needed to compete with other imported vegetables and fruits, the authority concerned needs to find means for that. Products will have access to different commercial complexes at competitive prices otherwise investors will be discouraged,” he added.
“Investors need encouraging conditions because our group spent five years to develop 100 percent Qatari technology for our greenhouse farms and reduce costs,” said Al Khalaf.
The MEC and MME recently announced a public auction to establish four greenhouse projects with area of 4sq km and a total production capacity of 80,000 tonnes per year. On the public auction, the prominent businessman said it should not be like giving the project for the one who pays the highest price but with the aim of realizing national vision to ensure food security.
Within five years from signing the contract, each of the four projects shall reach its full production capacity of 20,000 tonnes per year, but investors including Al Khalaf asked for extension of the period because the project needs longer time for preparations.
Asked what kind of facilities and services the government will provide, Al Khalaf said infrastructure aspects including water, electricity and roads. For water, investors have two options -- get fresh water supply by the government where the cost of cubic meter will become high, and the second option is to drill their own well which will also need desalination.
Omer Ali Al Ansari, assistant director of the department of Business Development and Promotion of Investment at Technical Committee, said the authority concerned will provide with necessary services and facilitate licences and required approvals in cooperation with the concerned entities.
The first Agrocluster project is a vital imitative and added value to the national economy, said Khalid Al buainain- Fitco Holding Company, adding that it is a great chance for national companies and “ I expect high competition”.
Such greenhouse farming will contribute to the national security, and it is one of the long awaited initiatives by the private sector, said Jaber Al Kawari, a Qatari businessman.
