Al-Jouf Agricultural estimates 10% rise in production cost on fuel price adjustment

Logo of Al-Jouf Agricultural Development Co.

Al-Jouf Agricultural Development Co. estimated a 10% increase in the cost of production as a direct financial impact of the recent adjustments in fuel product prices. 

The company expected this increase to appear in the first quarter of 2024, according to a statement to Tadawul. 

Al-jouf Agricultural highlighted its commitment to enhancing business efficiency and development in a responsible and sustainable manner. 

In addition, the company continues to invest in innovation and development of production technologies and products, as well as maximize the use of the competitive infrastructure available in the Kingdom to achieve its strategic objectives. 

The company is still working on obtaining all the necessary permits for its previously announced solar energy project. This project aims to lessen the financial impact of these adjustments on the firm's profits. 

According to data available on Argaam, Al-Jouf Agricultural received a notice from Saudi Aramco about fuel price changes, effective Jan. 1, 2024.