alkhorayef industries a regional leadership with a global

Issue (49) - 1434 - 2013Quarterly Issue of Alkhorayef Group of Companies

Alkhorayef Industries

A Regional Leadership with a Global Presence

Issue (49) 1434 - 2013 1

Towards the Future

Editorial

Industry has its own cycles and it’s phases. Alkhorayef Industries has witnessed this during its various phases of progress for more than 30 years. The first phase began with simple assembly lines in the industrial city of Riyadh. We grew with the local market, experiencing the different development stages of the Saudi economy and witnessing the rapid changes in the Kingdom, including the phenomenal growth in all major sectors. This evolution coincided with the company's success in the industrial and agricultural fields – both seen as crucial sectors of the national economy.

The company focused first on two main domain, namely, the local market by providing high-quality products through a network of branches and distributors, as well as promoting added value and vertical integration in product manufacturing, and expanding the base of suppliers locally and globally. The second phase of the Alkhorayef Industries journey had the company's vision to expand geographically and strategically position ourselves as a global player by establishing presence in the European, American and Latin American markets, besides a serious presence in China and Australia. Our access to these markets enabled us to provide innovative solutions and products to help our customers improve their productivity and contribute to bridging the food gap in the world. Our goal is to continue working with our partners for a better tomorrow for the future generations.

We are now in the phase of enjoying the technology ownership and licensing. This has resulted recently in a joint venture to meet the needs of the Chinese market. The JV has been licensed the rights to manufacture and use of the brand and technology developed by Alkhorayef Industries, This is a remarkable achievement indeed!

The achievement of Alkhorayef Industries would not have been possible without adhering tothe strong principles of the Alkhorayef Group. As the largest entity under its banner, we will alwaysmaintainthe core values of excellence, trust, inclusion and commitment, and seek diligently to uphold these values in front of it’s stake holders who have placed their trust in the reputed Alkhorayef name.

The Alkhorayef Group has gained its customers’ confidence not only for the undisputed quality of its products, but also for its aftersales services. Our services reflect our care for our customers – the most important factor in our investments and the primary motivation to succeed. This approach has strengthened the trust placed on us by our valued customers.

The final product that reaches the customer and the excellent aftersales service is the result of the dedicated efforts of our employees at our five factories. The customer is aware of the attention paid to him by our professional staff and understands that our main goal is to win his satisfaction. The company is committed to further enhance the skills of its employees to keep up with the latest developments in the world, which is also important for the progress of our outstandingworkforce.

We assure everyone that Alkhorayef Industries, with its expanding markets and the confidence it has won from many countries and governments for its advanced products, will maintain its approach by constantly making improvements in every aspect of its products and services, while staunchly adhering to our strong principles and values.

Mohammed AlkhorayefManaging Director

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Abdullah Ibrahim Alkhorayef Sons Company

Riyadh 11411 P.O.Box 305Tel.: (+9661) 435 14 79Fax: (+9661) 435 88 52

Alkhorayef International Company


Reaching our customers throughout the world, providing comprehensive solution programs, and working with colleagues as partners.

To achieve our dreams of growth by entering new markets, providing high quality products and services, and taking opportunities resulting from the hard work of our employees who were carefully chosen and sent for training to play an effective role in technology transfer and environmental preservation.

Alkhorayef Core Values

Publisher

A company of

Articles Published in Alkhorayef bulletin express only the writers’ view-points and the bulletin holds no responsibility for them.

• Excellence. • Trust.• Inclusion. • Commitment.

Alkhorayef Vision

Alkhorayef Mission

Chairman, Board of Directors

Abdulrahman Abdullah Alkhorayef

Editor-in-Chief

Saad Abdullah Alkhorayef

Editorial Supervisor

Saleh M. Alshamrani

Alkhorayef Group Company


Alkhorayef Petroleum Company

AlKhobar 31952 P.O.Box 30204Tel.: (+9663) 858 80 90Fax: (+9663) 857 85 69

Alkhorayef Lubricants Company

Jadah 21312 P.O.Box 11810Tel.: (+9662) 697 44 14Fax: (+9662) 697 38 27

Alkhorayef Industries Company


Alkhorayef Water & Energy Technology


Alkhorayef Agricultural Projects Company


Saudi Parts CenterCompany


Alkhorayef Printing Solutions


Saudi Installment House Company


Alkhorayef Management Services


All correspondence should be sent to the Editorial SupervisorP.O.Box 305, Riyadh 11411 Tel: 01/4955452Fax: 01/4950261Email:

P.O.Box 65701, Riyadh 11566 Kingdom of Saudi Arabia Tel: 00966-1-212-8005 Ext.: 1835 Fax: 1085

[email protected]

Issue (49) 1434 - 2013Quarterly Bulletin of Alkhorayef Group of Companies

[email protected]

Alkhorayef Commercial


News

Marine Division Celebrates Recovery of King Abdullah

The Marine Division celebrated the recovery of Custodian of the Two Holy Mosques King Abdullah bin Abdulaziz Al Saud, May Allah save him, from a surgery he underwent recently. The division sent a letter addressed to the Custodian of the Two Holy Mosques, stating:”Thanks to Allah for Your Recovery.”

Alkhorayef Industries Signs Contract with

Iraqi Ministry of Agriculture

Alkhorayef Industries signed a contract with the Iraqi State Company for Agriculture Supplies of the Ministry of Agriculture in Baghdad. The contract stipulates setting up 400 center pivot irrigation system units, each covering 68 Iraqi donums. Each system includes pump sets, generator sets, fertilizer tanks, injection pumps and other related components. Their total value is more than US$ 21 million.

On behalf of Alkhorayef Industries, Eng. Fayez Alani signed the contract with the General Manager of the Iraqi company. The total value of the contracts signed and implemented between the two companies amounts to more than US$ 53 million.

[email protected]

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News

Riyadh Commerce Expresses Gratitude to Sheikh Saad Alkhorayef

The Riyadh Chamber of Commerce and Industry awarded Sheikh Saad bin Abdullah Alkhorayef, CEO and Head of Food Security Committee at the Chamber, a certificate of thanks and appreciation for his efforts and contribution to the committee’s work during the board’s 15th session held between 1429 H to 1433 H. His significant presence and contribution enriched the work of the economic sector, the Chamber said.

Alkhorayef Group Receives Certificate of Appreciation

The Civil Defense has awarded a certificate of appreciation to the Alkhorayef Group in recognition of its efforts to serve pilgrims during the 1433 Haj season. These efforts had a positive effect and played a significant role in the success of the Haj plan of the Civil Defense.

The Alkhorayef Commercial Company, represented by its Marine Division, collaborated with the Civil Defense forces for the third year in a row to assist pilgrims during the season. The team specialized in maintaining boats, compressors, and generators received certificates of appreciation from the Civil Defense. The team comprised Eng. Mahmoud Madani, Nabil Missawi, and Mohammad Imran.

Alkhorayef Academy successfully carried out its training program for the year 2012, with several employees representing all the companies of the Group and all regions of the Kingdom receiving training, based on their needs and the requirements of their assigned jobs.

The trainees interacted positively and remarkably during the training sessions as they were exposed to significant practical and scientific expertise offered by qualified experts and specialists. The trainers carried out the training program at the Academy drafted to last for a whole year.

The 2012 program comes as the second successful training program executed by the Academy. The Academy continues to offer further programs to support the Group’s human resources.

Alkhorayef Academy Successfully Carries Out 2012 Training Program

The Alkhorayef Commercial Company, representing the Group, took an active part in Saudi Agriculture ’12 held under the patronage of Minister of Agriculture Dr. Fahad Balghuneim. ACC showcased its key products for farmers in the Saudi market with the aim of supporting the local agricultural sector.

A number of visitors to the Group’s pavilion showed tremendous interest in the product briefings by the company’s representatives. The company’s world-class products, which keep pace with the latest developments in the agriculture sector, were showcased at the pavilion.

Alkhorayef Group at the Saudi Agriculture Show

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News

Sheikh Saad Alkhorayef Expresses Gratitude to Orlowski

During the last meeting of the Alkhorayef Petroleum Company Board of the Directors, Mr. Thomas Orlowski, Electrical Engineering Manager, in recognition of superb technical achievements and 6 years of hard work, received special recognition and appreciation from Sheik Saad Alkhorayef.

Mr. Orlowski has established the Electrical Engineering Department (EED) and Electrical Surface Equipment Manufacturing for APC, making the company fully independent, with a complete range of electrical equipment meeting any customer’s specification.

Last year, after years of designs and tests, APC's EED under Mr. Orlowski’s leadership, patented a cooling system for VSD, meeting fully ARAMCO requirements and recognizing APC's VSD as their approved, preferred VSD model.

This accomplishment places APC in the strongest position among its competitors and affords APC with the greatest leverage in the recent ARAMCO tenders awarded as well as for the future.

We congratulate Mr. Orlowski and wish him successful years to come full of ideas and patents.

Alhajiri Appointed CEO of AWPT Sheikh Mohammed bin Abdullah Alkhorayef, Managing Director of Water and

Power business units, issued a resolution appointing Ibrahim Alhajiri as CEO of Alkhorayef Water & Power Technologies (AWPT).

The Group wishes Alhajiri every success in his new assignment.

Alkhorayef Commercial Test Drives Yamaha Products

Alkhorayef Commercial Company has concluded its second test-drive campaign of the 2012 Yamaha marine engine models at the Durrat Al-Arous Resort marina in Jeddah.

The event was witnessed by the Group’s customers as well several enthusiasts, who also tested the models and were

briefed on the products and their specifications as compared to similar competing products.

The company organizes such events periodically to update its customers on the latest products and allows testing of the models prior to purchase.

The Saudi Parts Center launched its new corporate identity at a recent function in the presence of Bandar Ibrahim Alkhorayef, President of the Board of Directors, and Fahd bin Mohammad Alkhorayef, the company’s General Director.

The Best Employees of the company were honored

and the closing of the financial year was marked on the occasion. Fahd bin Mohammad Alkhorayef urged everyone to put added efforts to achieve even better results.

Bandar Ibrahim Alkhorayef awarded gifts and certificates of appreciation to the Best Employees. He called upon the employees to accomplish better results in 2013.

Saudi Parts Center Launches New CorporateIdentity, Honors Best Employees

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News

AGC Bids Farewell to AlswailemThe Alkhorayef Group Board of Directors held a ceremony

recently to bid farewell to Saud Abdulaziz Alswailem, HR General Manager, and to honor him for his successful tenure in the company.

A number of chairmen, general directors, heads of departments and employees of the Group’s companies attended the ceremony. They expressed their gratitude to Alswailem for his efforts exerted during his term of office, wishing him every success in his endeavors.

Alswailem expressed his pride over having spent all these years in serving the company. He extended his gratitude to his colleagues for their strong feelings for him. He had a special word of thanks for Sheikh Abdulrahman Alkhorayef, Sheikh Hamad Alkhorayef, Sheikh Saad Alkhorayef, Sheikh Mohammad Alkhorayef, Sheikh Bandar Alkhorayef, and all other members of their family.

ACC Sponsors Beach Cleaning Campaign in Obhur

The Marine Division of Alkhorayef Commercial Company has received a certificate of appreciation for sponsoring a beach cleaning campaign in North Obhur. The sponsorship comes as part of the company’s strong commitment to social responsibility and as part of its efforts to support such events.

The Alkhorayef Commercial Company signed an agreement with the Human Resources Development Fund to foster further cooperation between the two sides in various fields.

The signing ceremony was attended by Ahmad Al-Mfarej, HR Manager, as well as Hazzaa Alenaizi, HR Supervisor.

ACC Signs Agreement with HRDF

Inshassy Appointed HR Development and Training ManagerAlkhorayef Industries Chairman Sheikh Mohammad bin Abdullah Alkhorayef issued a resolution appointing Waleed

Mohammad Inshassy as Manager of HR Development and Training. Best wishes to him in his new mission.

Al Fouzan Operations Manager at SPC Fahd bin Mohammad Alkhorayef, GM of the Saudi Parts Center Company issued a resolution appointing Ali

Ibrahim Al Fouzan as Operations Manager. Congratulations to our colleague; we wish him every success in his new posting.

Ali Appointed Manager of ACC Branch in Wadi Al DawasirGeneral Manager of Alkhorayef Commercial Co., Abdullah Alkhorayef issued a resolution appointing Mohammad

Ahmed Ali as Manager of Wadi Al-Dawasir branch. We wish him all the best in his new mission.

Bahefzallah Appointed Marketing Manager at SPCSaudi Parts Center Company General Manager Fahd bin Mohammad Alkhorayef issued a resolution appointing

Ezzo Mohammad Bahefzallah as Marketing Manager. Congratulations and best wishes to him for a successful career.

Elwani Appointed Manager of ACC Branch in TabukAlkhorayef Commercial Company General Manager Abdullah Alkhorayef issued a resolution appointing Mohammad

Tammam Elwani Manager of Tabuk branch. Best wishes to him in his new mission.

Shawqi Appointed SPI Brand Manager at SPCSaudi Parts Center Company General Manager Fahd bin Mohammad Alkhorayef issued a resolution appointing

Akram Shawqi as SPI Brand Manager. Congratulations and best wishes to him in his new posting.

Shauman Appointed Manager of ACC After-Sales DepartmentAlkhorayef Commercial Company General Manager Abdullah Alkhorayef issued a resolution appointing Saeed

Shauman as Manager of the After-Sales Department. Best Wishes to Shauman in his new mission.

Tahat Appointed Manager of Product Handling EquipmentAlkhorayef Commercial Company General Manager Abdullah Alkhorayef has issued a resolution appointing

Mohammad Zayed Tahat as Manager of Product Handling Equipment. We wish every success to him.

Alshihri and Aldribi promoted HR Development SpecialistsFayez Alshihri and Moaz Aldribi were promoted to HR development specialists in the Alkhorayef

Group. We wish them both every success in their new posts.

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CompanyName

Alkhorayef GroupAhmad Mahmoud Abdelqader Sharaf

Saudi Parts Center Co.Mohammad Mohsen Mohammad Bashir

Saudi Parts Center Co.Shahbaz Ahmed

Saudi Parts Center Co.Mohammad Shakeel Ahmad

Saudi Parts Center Co.Mostafa Mahmoud Kersha

Saudi Parts Center Co.Sayed Kareem Sayed HusseinAlkhorayef GroupHisham Hmoud AlnfeiAlkhorayef GroupSultan Mohammad Al Ghasseb

News

Amer Alshihri of Alkhorayef Commercial has been awarded a certificate of appreciation by Prince Fahd bin Salman Charitable Association for Renal Failure Patients Care, Kellana, for his voluntary efforts and social responsibility commitment. Alshihri has been a strong supporter of the Association’s work and events.

Charitable Association Awards Certificate of Appreciation to Alshihri

Alkhorayef Commercial Thanks Abdelhameed The Industrial Division at Alkhorayef

Commercial bade farewell to Eng. Amjad Abdelhameed who spent more than 21 years of his career with the company. Throughout his long tenure, he has shown a strong sense of commitment towards his work, and has exerted dedicated efforts to serve the company. Amjad also enjoyed strong bonds with his colleagues all through.

Ideal Employees for 2012 Announced

The HR Department has announced the Ideal Employees of all the companies of the group as part of its commitment to motivate the workforce in the Alkhorayef Group.

The Information Systems Department at Alkhorayef Printing Solutions Company, in coordination with Softnet, a Microsoft agent in KSA, made a presentation on the customer relationship management software package, “Microsoft Dynamic CRM” to decision makers at the SPC, AIC and APS. This step comes as part of the department’s endeavor to explore the best programs and solutions to serve the marketing, sales and after-sales sector. The presentation came after an earlier one made by the Equipment Systems Division in the presence of a Linde Company representative.

Sheikh Bandar bin Ibrahim Alkhorayef, Printing Solutions Chairman, praised the efforts exerted and the mutual cooperation established between the two companies and the Information Systems Department. He also expressed his confidence in the company’s ability to achieve constant success through applying the customer relations software (CRM) and the Decision Support Report System (BI Apps).

The presentation was followed by a lunch organized by the Printing Solutions Company to celebrate Oracle Release 12 and honor the Information Systems Department for the efforts it exerted during the application phase.

Alkhorayef Printing Solutions Explores Microsoft Dynamic CRM

As part of the Alkorayef Commercial Company’s plan to improve the quality of services provided to its customers, it supported the Maintenance Division with newly appointed 60 specialized employees. The first group includes 25 technicians who are expected to be valuable additions to the division.

During the upcoming period, the company expects to boost the Maintenance Division with more highly capable technical personnel to meet customer needs in this vital sector.

Alkhorayef Industries held a gathering to celebrate Eid with its employees in the presence of the company’s GM, Eng. Abdulaziz Abdulrahman Alkhorayef, who shared a community breakfast with the employees.

Eng. Abdulaziz expressed the company’s keenness to hold the gathering on the first day the employees returned to work after the Eid break to exchange heartfelt greetings on the joyous occasion. Alkhorayef said that this program aims at realizing several goals, most important of which is celebrating the occasion internally as well as fostering relations among the employees.

The company seeks to enhance communication between the employees through several other programs as well since the company believes that the employee is an integral part of the whole working team. Maintaining good relations among the team members is important as most of the company’s activities require working collaboratively as one family.

Alkhorayef Commercial Supports Maintenance Division with 25 Technicians

Alkhorayef Industries Employees Exchange Eid Greetings

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In the early ’80s the company's factories were simple assembly plants. They have since evolved to become state-of-the-art factories using world-


A Regional Leadership with a Global Presence

The Company is Ranked No. 1 in the Region in its Field and Fourth in the World

Alkhorayef Industries was founded in the early ’80s as part of the Alkhorayef Group established in 1957. Alkhorayef Industries has a lasting vision to effectively participate in Saudi Arabia’s industrial and agricultural development. The company seeks to provide effective, commercial solutions to food producers around the world to meet the increasing demand for food while conserving precious water resources.

With this noble vision, Alkhorayef Industries began its journey by building its factories in the Riyadh Second Industrial Zone on an 80,000-square-meter area, using Saudi and global experiences to achieve its goals.

class technology to manufacture irrigation systems, pumps, iron pipes, generators and electrical panels.

The company began making center

pivot irrigation systems after receiving endorsement from a global irrigation equipment manufacturer. The company evolved and gained in experience, competing with established players in the US and Europe. Alkhorayef Industries offers today a local product with international qualities. The company's exports account for about 60% of the company’s total production.

The company steadily entered into a new phase, adding innovative products. It introduced the reverse engineering technology for spare parts production. During this phase, the

company collaborated with several agencies, including the General Establishment for Water Desalination, the Ministry of Defense and other important governmental institutions. The company re-manufactures parts for these agencies with the use of this new technology.

Advanced FactoriesThe company has

five highly advanced factories: They include factories for manufacturing pumps and tiles, pipes, center pivot irrigation systems, electrical panels, and polyethylene lining. Alkhorayef Industries also owns the power generator brand, Gulf Power, well-known in local and regional markets.

The electrical panels factory supports the center pivot irrigation systems. Since the device has an electronic movement, it needs an electronic mind to control it. This factory manufactures these panels.

The polyethylene lining factory uses a new technique to overcome the rusting problem by blending plastic and iron. By using plastic from the inside, the iron pipes are insulated from water. This is another patent owned by Alkhorayef Industries and is being produced for long periods.

In 2005, Alkhorayef Industries allied with Pierce America. The engineering and production operations were carried out in the factories of both companies, covering US, Australian and Chinese markets, while the factory in Saudi Arabia covered the regional and other global markets.

Strategic Goals and Large-Scale Projects

The company's strategic objectives are to provide solutions to food

producers around the world and bridge the continuously expanding food gap. This goal has taken the company to the global stage as its activity is not limited to a specific area. The company has executed multiple projects in various parts of the world, including South American countries, such as Cuba, Panama and Venezuela.

At the regional level, the company has an Iraqi project sponsored by the Ministry of Agriculture to develop the agricultural sector. The Ministry signed a contract with Alkhorayef Industries for the supply of center pivot irrigation equipment considered the best in this field. The use of the irrigation systems, pumps, pipes, reapers, sowing devices and other agricultural equipment will help achieve self-sufficiency in grain production, reflecting the company’s reputation as a provider of integrated solutions.

Another project in southern Turkey involves cultivating a vast area of 25,000 hectares. Other projects have been completed in Egypt for the Egyptian army and other companies such as Rakhaa. Large-scale projects

were also carried out in other counties like Sudan and Ukraine.

The company, which has been known in the market since the ’50s, was further strengthened when it became part of the Alkhorayef Group. During its more than 30 years experience in the industry, the company has gained expertise in center pivot irrigation systems and their accessories. Over the years, the company’s experiences were transferred down the line to employees who eventually took up leadership positions in the company.

The company organizes several management and professional training courses for its senior staff members in quality, production lines maintenance

Alkhorayef Industries has five factories manufacturing iron pipes, pumps, center pivot irrigation equipment, lining pipes, and electrical panels and generators.

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Cover Story

and workplace safety. The company recognizes high performing trainees with certificates of appreciation, encouraging them to take on tasks without much supervision.

Social ResponsibilityAs part of its Corporate Social

Responsibility, Alkhorayef Industries cooperates with educational institutions to train students on production lines and other manufacturing methods. These institutions are King Saud University, Prince Sultan University, and the Technical and Vocational Training Corporation, from which it has earned a number of certificates of appreciation.

Distinguished CadresAlkhorayef Industries is proud of its

highly qualified workforce of engineers,

administrators and technicians who have received specialized training from various agencies. New work technologies, like welding technology, are being studied and transferred to the workers to keep up with global industrial trends.

The training is divided into two parts. The first pertains to engineering and technical affairs where the training focuses on reaching agreements with suppliers; and the second is conducted at the Alkhorayef Academy through direct training sessions.

Quality human resources are the most important factor of success for Alkhorayef Industries. The entire workforce at Alkhorayef Industries is committed to ensuring quality products and their evolution. Accordingly, the company lays due stress on training and development to enhance efficiency and productivity.

Economic BoomThe agricultural sector has greatly

benefited from the economic boom in Saudi Arabia when manufacturing of iron and metal-based devices flourished. The company also benefited from the agricultural boom in the world, which opened the doors for more exports, boosting the company’s presence in the international markets.

Key Regional, Global PlayerAlkhorayef Industries has been

ranked top in the region and fourth in the world, the first three being US-based. At the local level, Alkhorayef Industries has made tremendous strides, being the only noted company in this field and is beyond any immediate competition. The company has a strong export market and depends much on this market segment.

Genuine Products, Exceptional Services

Alkhorayef Industries center pivot irrigation systems meet high quality standards with competitive prices and excellent after-sales services. Alkhorayef quality ensures product durability, unlike competing products which prove dear in the long run due to the need for frequent repairs and recurrent maintenance schedules.

The company’s after-sales service is a strong feature in

boosting its market standing, focusing on ready supplies of spare parts and maintenance support. The service is not specific to any region, but covers all markets in which it operates. So strong is its after-sales reputation that some competing companies in foreign markets have asked their customers to follow the Alkhorayef after-sales model.

Since investment in agriculture and irrigation equipment is for the long term, it is important that the hardware used is of a high quality to ensure sustained operations without incurring undue losses. It has been observed that companies or individuals who were using substandard equipment were forced to switch over to genuine products after facing losses and to achieve adequate returns on a long term investment.

Local and International PartnershipsSABIC is providing Alkhorayef

Industries with high-quality iron. This has set the foundations for a strong partnership between the two companies

because Alkhorayef Industries’ products are mainly dependent on iron which goes into the making of pipes, center pivot irrigation equipment and a variety of spare parts.

As for external partnerships, the company relies on global suppliers to ensure the quality of its products. For electrical panels, for example, Alkhorayef Industries cooperates with Siemens from Germany, Schneider from France, ABB from England and other major companies.

SaudizationThe management has succeeded

in placing qualified Saudis in senior positions. The company is categorized in the Green Zone in the Ministry of Labor’s Nitaqat Program with the stipulated Saudization rate fully complied with. But irrespective of the Ministry of Labor’s directive, the company has rigorously followed its Saudization program in support of the national economy and to make Saudi industry truly national.

The company is executing large-scale projects in different parts of the world, utilizing a highly qualified workforce.

Alkhorayef Industries is establishing local and international partnerships to provide high quality products.

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Alkhorayef Industries products are: • Linear and center pivot irrigation

systems• Turbine pumps• Iron pipes• Electrical generators and panels.Alkhorayef Industries’ products are

The linear and center pivot mechanical irrigation systems effectively contribute to rationalizing and optimizing the use of irrigation water due to their high efficiency.

Alkhorayef Industries uses Irrigation Water Towers Lining Technology when increasing the minerals in the irrigation water.


Sophisticated Irrigation Systems for Farming Solutions

No Matter What the Size and Shape of the Area to be Irrigated, Alkhorayef Industries irrigation Systems Provide the Optimal Solutions

Alkhorayef Industries began manufacturing irrigation systems in 1985 with 4,000 irrigation devices every year. These irrigation systems were pivots and linear according to the various diameters of the pipes. The irrigation systems have different types of electrical panels so as to meet the needs of plantings in the new and existing projects in the Kingdom of Saudi Arabia, the Middle East, Africa, Europe and the Americas.

widespread in the Saudi market because of their high quality and integrated solutions for various agricultural projects. Alkhorayef Industries have built strong relations with Saudi farmers, working along with them when the government had subsidized the agricultural sector. As a leading company

in the sector, it has helped the agricultural sector raise its contribution to the GDP by 1% to 9% in the eighties.

During the past years, the Developer Irrigation Systems gained the confidence of farmers and major agricultural entrepreneurs and managers. This

confidence encouraged Alkhorayef Industries to constantly develop its products. The Alkhorayef research and development teams, along with their partners, used the company’s engineering competencies in Saudi Arabia, US and Europe to develop new linear and center pivot irrigation systems. These systems were suitable for new agricultural projects in the rugged lands, as well as for small-scale irrigation, whether they were situated between axes or were small independent properties as it is the case in the Middle East markets.

These R&D efforts resulted in the design and production of modern irrigation systems known as CP600. These systems are being tested in Wasi' and Dirab since 2005. Wasi' was chosen to try the filled center pivot irrigation systems to irrigate a 50-hectare land because of the low water quality in the region and the rugged terrain. The Micro systems, under the AcreMaster brand name, were tested in Dirab to irrigate a 15-hectare land.

The exceptional performance of CP600 and AcreMaster irrigation systems under these difficult operating conditions proved the reliability of these systems, making

them the preferred choice in the market. Building on the success achieved in the Kingdom, Alkhorayef Industries expanded its activities to cover the needs of the Middle East, African, Asian, European and American markets. They also covered the company's branches in both Egypt and Iraq, as well as its dealer networks in Sudan, Libya, Turkey and the Gulf states. Isco was founded to cover the needs of the European and Latin American's markets, while in North America the company has collaborated with Pierce Company in Oregon to conduct the required research for innovation and modern irrigation system designs. The outcome of this collaboration allowed the company to provide integrated solutions for agricultural projects. The company is involved in the project right from the feasibility stage through its various phases of advancement.

The importance of irrigation systemsDue to population growth and the

increasing demands on food and water resources, the international agricultural sector is constantly faced with new challenges to use efficient, water-conserving technology for irrigation systems. The most popular irrigation systems in this regard are

the self-propelled linear and center pivot irrigation systems, which effectively help in rationalizing available water sources for irrigation. Consequently, they contribute to the reclamation of land needed for cultivation with the minimal use of water.

It is due to their high competency levels that the linear and center pivot mechanical irrigation systems are able to use irrigation water optimally for the crops to grow. Their efficiency levels range from 90% to 95% as compared to traditional irrigation methods, such as surface irrigation, which has an efficiency range of 40% to 60%.

Irrigation efficiency is defined as the difference between the irrigation water used according to each irrigation system and the amount that the crops effectively need.

The result of the irrigation efficiency difference is the loss of huge volumes of unused water and energy required to manage those systems. This increases the operating costs of the traditional irrigation systems as compared to the self-propelled mechanical systems.The linear and center pivot mechanical irrigation systems are used to add fertilizers and pesticides to the crops during the irrigation process with the same high irrigation efficiency. This provides the crops with adequate fertilizers and disease-control supplies which eventually reflect on productivity.

FAO studies conducted in 2005 have shown that although the irrigated areas using mechanical irrigation systems constitute about 18% of the total cultivated areas in the world, they account for about 50% of the world's food production.Alkhorayef Industries’ linear and center pivot irrigation systems have been

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tested and tried according to the highest quality standards. They have a longer operational life under most demanding operating conditions: rugged terrain, increased minerals in the irrigation water or the scarcity of available water or energy sources resources. This has been made possible by the unique engineering design of the irrigation systems database and the irrigation systems’ tower structures which consist of galvanized and hot iron to suit different agriculture operating conditions.

Alkhorayef Industries irrigation systems’ towers are highly resistant to the dips and slopes that are common to agricultural projects. Thus, they offer cost-saving solutions as the need for leveling the land, as in the case with conventional irrigation methods, is done away with. The towers can work efficiently when there is a 15% to 17% difference between the topographic layers of the agricultural projects to be irrigated.

When increasing minerals in irrigation water Alkhorayef Industries’ lining plant uses the technology of lining the towers from the inside with high-density polyethylene pipes, which carries a 10-year warranty offered by the company.

Due to the differences between climates, soil type and cultivated crops for which irrigation systems are used, Alkhorayef Industries specialists first study the climate in the project areas. The primary purpose for this is to check the temperature, wind speed and solar radiation to determine the volume of water

necessary for irrigation. According to the analyses of the soil

type and the crop, Alkhorayef Industries engages the appropriate sprinkler variety and the linear and center pivot mechanical irrigation systems to suit the climatic conditions, soil quality and cultivated crops. In this way, it minimizes the losses that may result from erosion if the targeted sites experience high winds causing evaporation during the irrigation process. It is important to ensure the correct balance between the additives from the irrigation water and what is available in the soil to prevent erosion and ensure irrigation efficiency.

Alkhorayef Industries’ irrigation

systems offer maximum efficiency in managing and monitoring agriculture projects with the optimal use of water. This high rate of efficiency is achieved with the use of high-tech electrical panels manufactured at the company’s state-of-the art electrical unit plant.

The appropriate electrical panel is picked on the basis of the project's requirements. If the center pivot irrigation system has to be operated through the farm operator then the Baseboard is the perfect choice. However, if the irrigation system has to be remotely managed and operated, then the Evolution panel is ideal because the irrigation systems are remotely followed-up and managed through radio communications or the Internet. The electrical Evolution panels enable the operator to apply various irrigation programs stored in its memory under irrigation systems button to irrigate different kinds of crops.

No matter what the size and shape of the area to be irrigated, Alkhorayef Industries’ irrigation systems provide the optimal solutions. When it comes to major agricultural projects, the center pivot irrigation systems are the ideal choice, and for rectangular projects, the linear irrigation systems are preferred. In the case of small scale agriculture areas, both linear and pivot Micro are used because these systems are easy to tow from one land to another using a tractor. They can irrigate three to four holdings as per the area that needs to be cultivated.

Studies have shown that although the irrigated areas using mechanical irrigation systems constitute about 18% of the total cultivated areas in the world, they account for about 50% of the world's food production.

Ali Gets Chartered Certified Accountants Fellowship

Aidroos Ahmed Ali of Alkhorayef Group received his Fellowship of Chartered Certified Accountants Association. We congratulate him on the achievement, and wish him every success in his career.

Al Ansari Blessed with Baby Girl

Ali Al Ansari of Alkhorayef Group was blessed with a new baby girl. May Allah bless her with all happiness. Congratulations Ali!

Althani has a New Baby Boy

Our colleague, Sadeq Althani, of Alkhorayef Petroleum, has been blessed with a new baby boy. May Allah bless him with all happiness. Congratulations Sadeq!

New Colleagues Join Alkhorayef Commercial CompanyA panel of new colleagues recently joined Alkhorayef Commercial Company. The group includes Abdulrahman Khalil Aljeiaan,

Abdullah Abdulaziz Edwan, Mohammad Almurtada Wedad, Samy Mohammad Abuauf, Ali Ahmad Bakshan, Amer Hamidi Alshihri, Adeeb Mohammad Alhout, Khalid Saeed Alzahrani, Saeed Abdelmoneim Shauman, Mohammad Ghannam Algashaam, Yasser Hassan Ahmed, Mohammad Alqadi, Anas Alghamdi, Hany Khouja, Saad Alasmari, Abbas Ahmed Shaeb, Abdulmo’men Alassaf, Omar Abdulaziz Aldakheel, Abdulilah Rashed Alnadaff, Mohamed Alshghdaly, Manzoor Hussein Mohammad, Waleed Yahya Elwany and Naif Alzhrany. Congratulations to our new colleagues, and best wishes to them in all their endeavors.

New Colleagues Join Alkhorayef IndustriesA group of new colleagues recently joined Alkhorayef Industries to assume different positions. They are Fahad Saud

Alsbei, Abdullah Salah Alswailem, Fahd Ibrahim Almheissen, Mohammad Assad Akram, Hamad Saeed Khan, Nasser Saad Almheini, Ihab Ameen Faheem.

New Colleagues Join SPCA group of new employees joined the Saudi Parts Center Company. We welcome our new colleagues, Abdulaziz Abdulrahman Alkhlifi, Eid Mahss Alotibi, Nasser Ali Alwadei, Abdullah Mohammad Aleid, Amr Mohammad Basyony Hassan and Hany Ismaeel Alazaley. Sincere wishes to them for every success in their endeavors.

Issue (49) 1434 - 201320

Society

Barham Has a Baby Girl

Our colleague, Anas ShahirBarham, from Alkhorayef Commercial, has a new baby girl whom he has called Nathalie. Congratulations to our colleague and best wishes of happiness for the baby.

Mabkhout Completes Training Course

Our colleague Mohammad Mabkhout from Alkhorayef Commercial has completed a training course in Public Relations. We wish him luck and success.

Condolences to AlhmeidiThe HR Department of Alkhorayef Commercial extends its

condolences to colleague Thamer Abdulhadi Alhmeidi on the death of his grandmother. May Allah bless her soul and dwell her in Paradise. To Allah we belong and to Him we shall return.

Condolences to HalawaThe HR Department of Alkhorayef Group extends its condolences

to our colleague, Mohammad Samy Halawa of Alkhorayef Water & Power Technologies, on the death of his father. May Allah bless his soul in Paradise. To Allah we belong and to Him we shall return.

Condolences to Al AlazmaaThe HR Department of Alkhorayef Group extends its

condolences to our colleagues, Abdullah and Ahmad Alazmaa, on the death of their grandfather. May Allah rest his soul in Paradise. To Allah we belong and to Him we shall return.

Condolences to HawariThe HR Department of Alkhorayef Group extends its

condolences to our colleague, Safwan Mostafa Ahmad Hawari of Alkhorayef Commercial, who lost his father recently. May Allah bless his soul in Paradise. To Allah we belong and to Him we shall return.

Condolences to HusseinThe HR Department of Alkhorayef Group extends its

condolences to our colleagues, Adel Abdulhadi Hussein of AGC and Essmat Abdulhadi Hussein of Alkhorayef Commercial on the death of their mother. May Allah bless her soul eternally. To Allah we belong and to Him we shall return.

AlKhorayef Group Mourns Death of Abdulwahab The HR Department of Alkhorayef Group mourns the death of

our colleague, Mohammad Badr Abdulwahab of Alkhorayef Printing Solutions. May Allah bless his soul and dwell him in Paradise. To Allah we belong and to Him we shall return.

Condolences to TahatThe HR Department of Alkhorayef Commercial extends

its condolences to our colleague, Mohammad Zayed Tahat, on the death of his father. May Allah bless his soul eternally. To Allah we belong and to Him we shall return.

Condolences to AbbadThe HR Department of Alkhorayef Commercial extends

its condolences to our colleague, Mohammad Abdullah Abbad, on the death of his father. May Allah bless his soul eternally. To Allah we belong and to Him we shall return.

Condolences to SmidaaThe HR Department of Alkhorayef Group extends its

condolences to our colleague, Hassan Smidaa of Alkhorayef Commercial on the death of his mother. May Allah bless her soul eternally. To Allah we belong and to Him we shall return.

Condolences to ImranThe HR Department of Alkhorayef Group extends its

condolences to our colleague, Mohammad Imran of the Saudi Parts Center Company on the death of his mother. May Allah bless her soul eternally. To Allah we belong and to Him we shall return.

Condolences to AboughoushThe HR Department of Alkhorayef Group extends

its condolences to our colleague, Mohammad Nasser Aboughoush of Alkhorayef Commercial on the death of his father. May Allah bless his soul eternally. To Allah we belong and to Him we shall return.

AlKhorayef Group Mourns Death of Ali The HR Department of Alkhorayef Group mourns the

death of our colleague, Yasser Ali Honwah of Alkhorayef Commercial. May Allah bless his soul and dwell him in Paradise. To Allah we belong and to Him we shall return.

Condolences to AlasaadyThe HR Department of Alkhorayef Group extends its condolences to our colleague, Mohammad Alasaady of Alkhorayef

Commercial on the death of his mother. May Allah bless her soul eternally. To Allah we belong and to Him we shall return.

Keep detergents and chemicals out

of reach of children

Keep detergents and chemicals out

of reach of children

alkhorayef industries a regional leadership with a global

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