After investing US$50 million to expand its Cairo location, Kraft Heinz has revealed plans to greatly expand its production capacity in Egypt.
This action is a component of a larger plan to improve the business’s export capacities in the Middle East and Africa. The sole Kraft Heinz facility in North Africa and the Middle East, the Cairo plant has been in operation since 1991, and it plans to raise its export output by 65%.
Kraft Heinz is targeting major growth in an attempt to capitalise on the expanding market in Africa, specifically in the tomato ketchup category. Africa’s tomato ketchup market is anticipated to bring in US$3 billion in sales in 2024, and between 2024 and 2029, it is predicted to increase at a rate of 10.4% annually.
With an anticipated contribution of US$6.072 billion in 2024, the United States continues to be the market leader in terms of revenue generation globally, BrandSpur digital news platform reports.
With a growth rate of 3.9% in 2025, the size of the worldwide tomato ketchup industry is predicted to reach 1.45 billion kilogrammes by 2029.
The business is also dedicated to funding environmentally friendly farming initiatives in Egypt, supporting the country’s efforts to become less dependent on imports and strengthen its status as a regional centre for manufacturing.
The corporation continues to do well in North America even if its overall sales have somewhat decreased, coming in at US$6.4 billion in the first quarter of 2024, down 1.2% from the same period the previous year.
During that time, net sales in this region totalled US$4.8 billion, making it the region that contributed the most revenue to Kraft Heinz overall. With US$26.64 billion in revenue for 2023—a slight rise of 0.59% over the previous year—Kraft Heinz has been on a steady course.
Continuing, the company’s net margin as of June 2024 is 10.62%, and its gross margin is 34.29%. Global sales of Kraft Heinz’s sauces and condiments were estimated to be $8.9 billion in 2023; US$1.85 billion was recorded in just the first quarter of 2024.
