Arab Finance: Finnish growing media company Kekkila-BVB plans to establish a factory in Egypt in partnership with Egyptian agritech company Agriventure, according to a statement from the Ministry of Industry.
The proposed facility would be located in the Suez Canal Economic Zone (SCZONE) and produce alternative growing media for precision agriculture, including the cultivation of blueberries, mushrooms, and other export crops. Its products would also serve traditional farming and land reclamation projects.
Minister of Industry Khaled Hashem reviewed the plan during a meeting with Pekka Tennila, CEO of Kekkila-BVB, and representatives of Agriventure. Mohamed Sobhy, head of the Central Administration for Industrial Affairs Control at the ministry, also attended the meeting.
The meeting highlighted that locally produced growing media could accelerate the preparation and fertilization of desert land, reduce soil-borne diseases, and support sustainable agriculture. It added that growing media account for 30% of precision agriculture costs, making domestic production a potential means of reducing imports.
Hashem said localizing the industry would support the expansion of modern and protected agriculture while increasing the added value of agricultural processing.
He added that agricultural processing technologies are among the ministry’s priorities as it seeks to connect scientific research with industrial production, lower agricultural costs, and provide domestic alternatives to imported products.
The minister also highlighted the role of technology and innovation in conserving water and expanding the supply of raw materials for agricultural processing projects. He called for increased local manufacturing of hydroponic containers and equipment amid rising domestic and international demand for water-efficient farming systems.
Alongside the proposed factory, Hashem raised the possibility of Agriventure joining the Productive Village initiative, which forms part of the ministry’s approach to balanced industrial development. The program seeks to build on the comparative advantages of individual governorates while helping curb irregular migration and internal migration from local communities.
Under the initiative, small workshops and industrial complexes would receive financing assistance and technical support, helping connect them with small and medium-sized factories and integrate them into supply chains. An industrial map would identify the comparative advantage of each village.
The ministry said Agriventure could receive space to implement precision agriculture projects in villages known for producing medicinal and aromatic plants and other export crops.
Tennila said Kekkila-BVB is one of the world’s largest producers of growing media and specializes in technological solutions for conventional agriculture and water-efficient precision farming. He added that the company exports to markets worldwide and views Egypt as a gateway to African and Arab markets.
Kekkila-BVB operates in more than 100 countries and is part of Finland-based Neova Group. Tennilä serves as CEO of both companies.
Agriventure specializes in agricultural technology, modern farming, and high-value crops, with a particular focus on blueberries grown through precision agriculture and hydroponic systems. The company said it is Egypt’s largest blueberry producer and exports to the UK, Europe, Southeast Asia, and Gulf Cooperation Council (GCC) countries.
The two companies already have an exclusive partnership in Egypt focused on high-tech blueberry cultivation.
