The first licensing agreement was signed yesterday between Tnuva and the food company from the Emirates Food Industries (EFI).
Under the agreement, Tnuva will accompany the establishment of production lines at the company's dairy from the Emirates.
In the first phase, it will be accompanied by the establishment of a production line of lava, which will be created in the same process as is happening at Alon Tavor Dairy.
In the future, the activity will include support in the development and production of additional products.
Tnuva will receive compensation for accompanying the establishment of the system and even royalties on the products that will be sold.
The agreement is for ten years with the possibility of another ten years, and the revenue potential for Tnuva in the coming years stands at millions of dollars.
The deal was led by the International Division, headed by Sagi Cohen.
Unique production method
Tnuva's lava production system at Alon Tavor Dairy, in the Jezreel Valley, is considered unique due to its ability to produce on a large scale, while preserving the traditional production method of dripping bags.
In Israel, Tnuva markets the lava under the "Piraeus" brand, which is considered a leader in the category with 40% of the market share.
EFI started as a basic products company and entered the dairy industry a few years ago.
It is now one of the leading food companies in the country, with a sales turnover of $ 250 million.
The agreement with Tnuva will allow the company to expand its activities in the dairy field.
"Tnuva was one of the first Israeli companies to maintain contacts to promote commercial cooperation in the United Arab Emirates," said Haim Gavrieli, chairman of the Tnuva Group, adding: "This agreement is a testament to the enormous potential inherent in companies from both countries."
Eyal Melis, CEO of the Tnuva Group, added: “The agreement is part of Tnuva's strategy to grow in the international markets. We do this, among other things, through the sale of knowledge, and it joins an agreement with the Migros Group - the largest food retailer in Switzerland. The company is in contact with other companies that are interested in the knowledge and capabilities found in Tnuva. "
