Alican, the manufacturer behind the Sieger brand of pet food, announced a $30 million investment plan to significantly boost its production capacity in Córdoba, Argentina.
This investment will expand Alican's facilities in Alcira Gigena and Juárez Celman over the next four years, aiming to triple its production capacity, increase annual revenue to approximately $100 million, and double its export volume. According to press sources quoting Darío Maida Re, director and cofounder, Alican is a pet food company established by veterinarians and former executives from large pet food companies.
The Alcira Gigena plant features a state-of-the-art automated production line for dry pet food, while the Juárez Celman facility focuses on wet pet food production and features an in-house laboratory for product innovation. With this investment, Alican plans to increase its monthly dry food production from 3,000 to between 8,000 and 9,000 tons, and its wet food production from 100 to 300 tons.
Currently, Alican exports 15% of its dry food production to neighboring countries Chile, Uruguay, Bolivia and Ecuador, and has started selling in Peru and Colombia, as well as in the U.S. and Europe through Amazon. The company also plans to establish subsidiaries in Uruguay and Paraguay this year.
In addition, Alican is developing a 100% vegan dog food, intended for distribution in health food shops. The company is considering setting up a research center to further innovate in pet nutrition.
Despite rising production costs and challenges in maintaining profitability, Alican remains committed to expanding its export footprint. Maida Re emphasized the strategic importance of maintaining their market presence, even at the cost of short-term profitability. With a vision to export 30% of their production, Alican is poised for ambitious growth.
Alican participates largely in the premium pet food segment. For dog food, this market represents 8% of total sales, with Alican holding a 14% share of the segment. In the wet food segment, Alican has already achieved a 60% market share. The company is present in about 6,000 points-of-sale across the country.
Wet food in Argentina still negligible
In Argentina, wet pet food represents just 2% of the market, compared to 30% in Europe and the U.S., indicating significant growth potential. Alican's leading brand, Sieger, includes both dry and wet food products with specialized diets such as Recovery, which was launched just over a year ago.
Alican's $30 million investment is a strategic move to capitalize on the growing global demand for premium pet food. By tripling its production capacity and expanding its product lines, Alican aims to strengthen its market position both domestically and internationally, ensuring a bright future for the company and the pets it serves.
