Dubai-based Al-Khaleej Sugar Refinery has signed a deal to build a $1bn agricultural complex in Egypt.

The Al-Canal Sugar complex will be built in the city of Minya in Upper Egypt on the banks of the Nile the south of Cairo. The plant will produce 900,000 tonnes of sugar a-year. It is expected to start production in mid-2020 and full capacity will be reached in February 2021.

The surrounding 770 square kilometres of land will be farmed with wheat and beet in winter and corn in summer. The land has been secured with a 60-year long-term lease deal.

The UAE’s Al-Ghurair is the major investor in the project. Al-Ahly Capital Holding, the private equity arm of the National Bank of Egypt, is a financial partner for the project.