Saudi SALIC, Bunge buy 50.1% of Canadian Wheat Board

Saudi Agricultural & Livestock Investment Co. (SALIC) said G3 Global Grain Group, its joint venture with Bunge Canada acquired a 50.1 percent controlling stake in the Canadian Wheat Board for SAR 750 million (CAD 250 million).

The minority ownership stake in the grain-handling and trading company will be owned by farmers.

Canada is one of the world’s biggest producers and exporters of wheat, while Saudi Arabia depends on wheat imports to meet its high demand.

SALIC is looking forward to investing in many countries like Canada, said Abdullah Al-Rubaian, chairman of the company.

In 2009, the Saudi cabinet approved to establish SALIC with SAR 3 billion capital, according to data compiled by Argaam.

SALIC operates in agricultural and livestock investments, playing a significant role in raising food security kingdom-wide. The company launched its operations in 2007.

The wheat board was a former monopoly in Canada for over 70 years. However, Canada’s conservative government moved to 

 in 2011.

Canada approved the deal with G3 to ensure the board will become a fully private and global competitor in the local grain sector, Canadian agriculture minister Gerry Ritz said in a statement on Wednesday.