Saudi Arabia's SALIC Ups Stake in Brazil's Minerva Foods

The Saudi Agricultural and Livestock Investment Company (SALIC) is fully owned by the Public Investment Fund. Asharq Al-Awsat
The Saudi Agricultural and Livestock Investment Company (SALIC) is fully owned by the Public Investment Fund. Asharq Al-Awsat
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Saudi Arabia's SALIC Ups Stake in Brazil's Minerva Foods

The Saudi Agricultural and Livestock Investment Company (SALIC) is fully owned by the Public Investment Fund. Asharq Al-Awsat
The Saudi Agricultural and Livestock Investment Company (SALIC) is fully owned by the Public Investment Fund. Asharq Al-Awsat

Saudi investment firm SALIC said on Wednesday it had increased its stake in Brazilian meat company Minerva Foods to 33.83% from 25.5%.

SALIC, the Saudi Agricultural and Livestock Investment Co, fully owned by the Public Investment Fund, was launched in 2012 to secure food supplies for Saudi Arabia through mass production and investment.

"Minerva Foods is one of the largest meat production companies in South America and the second-largest exporter in Brazil as it produces more than one million tons of meat annually. Minerva Foods mainly serves the demands of foreign markets and during this year, it has already exported 750,000 tons of red meat to more than 100 countries around the globe," the Saudi-based Company said in statement.

This comes as Saudi Arabia consumes 550,000 tonnes of red meat a year, of which 70% is imported.

Since its formation in 2012, SALIC has been operating in the agricultural and livestock investment sector and working in countries that have comparative advantages, enabling it to meet the objectives set by the food security program through foreign investments, the provision of food products, and working with relevant government agencies to stabilize food commodity prices in the Kingdom.

In 1992, the Brazilian Group began to invest in the industrialization of beef and beef products, offering high quality meat. It currently operates 25 factories in South America.

In addition to its operational units in South America, Minerva Foods also has commercial offices in 9 countries to provide differentiated service in these regions.



Saudi Business and Job Growth Hit 14-Year High

Riyadh, Saudi Arabia (AFP)
Riyadh, Saudi Arabia (AFP)
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Saudi Business and Job Growth Hit 14-Year High

Riyadh, Saudi Arabia (AFP)
Riyadh, Saudi Arabia (AFP)

Business conditions in Saudi Arabia’s non-oil private sector improved notably in June, driven by a marked rise in customer demand and expanded production, according to the latest Riyad Bank Purchasing Managers’ Index (PMI) data.

New business volumes surged, fueling the fastest pace of employment growth since May 2011. This strong demand for workers pushed wage costs to record highs, adding pressure on overall expenses and contributing to a fresh increase in output prices.

The headline PMI climbed to 57.2 in June from 55.8 in May - its highest level in three months and slightly above the long-term average of 56.9. The reading signaled a robust improvement in the health of the non-oil private sector economy.

Companies reported another rise in new orders last month, with growth accelerating following a recent low in April. Many firms cited gaining new clients, alongside improved marketing efforts and stronger demand conditions. Domestic sales were the main driver of the increase, while export sales edged up slightly.

Purchasing Activity Expands

Production continued to expand through the end of Q2, although growth slowed to a 10-month low. Purchasing activity picked up sharply as companies sought to secure additional inputs to meet rising demand, with the pace of purchase growth reaching its fastest in two years.

Employment growth accelerated as businesses rapidly expanded their workforce to keep pace with incoming orders, pushing hiring to the highest level since mid-2011. This strong recruitment trend, which began early in 2025, was largely driven by a rising need for skilled workers, prompting companies to increase salary offers. Consequently, overall wage costs rose at the fastest rate since the PMI survey started in 2009.

Facing mounting cost pressures from higher raw material prices, firms raised their selling prices sharply in June , the biggest increase since late 2023, reversing declines recorded in two of the previous three months. This price hike largely reflected the passing of higher operating costs onto customers, although some companies opted for competitive pricing strategies by cutting prices.

Resilient Economic Outlook

Looking ahead, non-oil private sector firms remained confident about business activity over the next 12 months. Optimism hit a two-year high, supported by resilient domestic economic conditions, strong demand, and improved sales. Supply-side conditions also showed positive momentum, with another strong improvement in supplier performance.

Dr. Naif Alghaith, Chief Economist at Riyad Bank, said: “Future expectations among non-oil companies remain very positive. Business confidence reached its highest level in two years, underpinned by strong order inflows and improving local economic conditions.”

He added: “However, cost pressures became more pronounced in June, with wage growth hitting record levels as companies compete to retain talent. Purchasing prices also rose at the fastest pace since February, partly driven by increased demand and geopolitical risks. Despite these challenges, companies broadly raised selling prices to recover from May’s declines, reflecting an improved ability to pass higher costs onto customers.”