Alican, the manufacturer of the Sieger brand of pet food, has unveiled a $30 million investment plan aimed at substantially increasing its production capacity in Córdoba, Argentina. Over the next four years, this initiative will see significant expansions at Alican’s facilities in Alcira Gigena and Juárez Celman.
The company aims to triple its production capacity, targeting an annual revenue of approximately $100 million and doubling its export volume. Alican, founded by veterinarians and former executives from leading pet food companies, is poised for substantial growth, according to Darío Maida Re, director and cofounder.
The Alcira Gigena plant is equipped with an advanced automated production line for dry pet food, while the Juárez Celman facility specializes in wet pet food production, featuring an in-house laboratory for product innovation. With the new investment, Alican plans to boost its monthly dry food production from 3,000 tons to between 8,000 and 9,000 tons, and increase wet food production from 100 tons to 300 tons.
Currently, Alican exports 15% of its dry food production to Chile, Uruguay, Bolivia, and Ecuador. The company has also started selling in Peru and Colombia, as well as in the U.S. and Europe through Amazon. Additionally, Alican plans to establish subsidiaries in Uruguay and Paraguay within the year.
The company is also developing a 100% vegan dog food, intended for distribution in health food shops. Alican is considering the establishment of a research center to further innovate in pet nutrition.
Despite facing rising production costs and challenges in maintaining profitability, Alican is committed to expanding its export footprint. Maida Re stressed the strategic importance of sustaining their market presence, even at the expense of short-term profitability. With an ambition to export 30% of their production, Alican is setting the stage for significant growth.
Alican operates primarily in the premium pet food segment. In the dog food market, which represents 8% of total sales, Alican holds a 14% share. In the wet food segment, Alican has already achieved a commanding 60% market share. The company’s products are available at about 6,000 points-of-sale across Argentina.
While wet pet food accounts for just 2% of the market in Argentina—compared to 30% in Europe and the U.S.—Alican sees significant growth potential. Sieger, Alican’s leading brand, offers both dry and wet food products, including specialized diets like Recovery, launched just over a year ago.
Alican’s $30 million investment is a strategic move to leverage the growing global demand for premium pet food. By tripling its production capacity and expanding its product lines, Alican aims to solidify its market position both domestically and internationally, ensuring a promising future for the company and the pets it serves.