About us - گروه قند خاورمیانه

History

The production unit was originally designed in 1984 and launched over a 115-hectare area between the cities of Shush and Dezful, utilizing Czech-made machinery. In 2019, ownership was transferred to Middle East Sugar Agro-Industrial Company. A major modernization initiative was then undertaken, focusing on capacity expansion and product quality enhancement through the integration of advanced technology and German machinery, supported by investment from Sepehr Arman Industrial Group.

Currently, the company provides direct employment to over 750 individuals and supports more than 40,000 farmers through its extended value chain. In 2022, it was recognized as Iran’s leading sugar beet processor by production volume and performance.

The company's most important future plans

Organizational Development

Strategic development, brand creation, and brand identity establishment

Implementation of human capital development programs, including training for managers, staff, and farmers

Advancement of management systems within the factory, including quality management and maintenance systems

Product and business development initiatives

Expansion of sugar beet processing capacity from 5,000 to 10,000 metric tons per day, positioning the facility as the largest operational sugar plant in the Middle East.

Implementation of energy management programs aimed at supporting sustainable development

Importation of raw sugar and export of refined sugar to neighboring countries

Extension of the operational season and revenue growth through upstream integration in the value chain, including the cultivation of 2,000 hectares of company-owned sugar beet and off-season raw sugar imports

Production of packaged sugar for direct household consumption

Downstream integration in the value chain through the production of sugar-based products such as jams, rock candy, and more

Corporate governance

Report on Corporate Governance Compliance

The company has undertaken several key measures to ensure compliance with the corporate governance guidelines as approved by the Securities and Exchange Organization of Iran, including:

Compliance with the requirement that a majority of board members be non-executive, and that at least one independent (non-executive) member possess academic credentials in finance and relevant professional experience.

Preparation and submission of declarations confirming that board members do not simultaneously serve on the boards of more than three companies.

Development and implementation of the company’s organizational code of ethics.

Adoption of fair and transparent procedures in accordance with regulatory standards to safeguard equal rights for all shareholders. This includes participation and voting in general assemblies, access to timely and reliable corporate information, entitlement to dividends, timely profit distribution, and secure ownership registration of shares.

Adherence to capital market and Securities and Exchange Organization regulations regarding related-party transactions to ensure proper conflict-of-interest management and to protect the interests of the company and its shareholders.

Implementation of effective internal control mechanisms to provide reasonable assurance regarding the safeguarding of assets and resources against waste, loss, fraud, or misuse; operational efficiency and effectiveness; accuracy of financial and non-financial reporting; and compliance with applicable laws and regulations. This is achieved through the development of detailed policies, procedures, and active monitoring of their execution.

Establishment of an internal audit unit in accordance with the regulations of the Securities and Exchange Organization.

Annual assessment of internal control systems by the Board of Directors, with disclosure of findings in a dedicated Internal Control Report.

Design and implementation of mechanisms to ensure full compliance with all regulations regarding insiders and access to confidential information, under the oversight of the Board.

Adherence to corporate governance provisions concerning performance-based determination of compensation for board members and senior executives, and the prohibition of any additional remuneration or rewards granted by board members to themselves beyond what has been approved by the General Assembly.

Compliance with the non-delegable duties of the Board of Directors as outlined in the corporate governance directive.

Formation of mandatory committees as stipulated by the corporate governance guidelines, under the supervision of the Board.

Ensuring that the Chairman of the Board does not concurrently serve as the company’s CEO.

Drafting and ratification of the Board Charter, outlining the duties, authorities, and responsibilities of the Chairman, CEO, and other board members, as well as procedures for setting meeting agendas, decision-making processes, and approvals.

Establishment of a Board Secretariat in accordance with official guidelines, responsible for coordinating and documenting board meetings, gathering required information, following up on expert assessments requested by board members, and ensuring compliance with the Board’s legal obligations.

Holding Board of Directors meetings at least once per month

Compliance with legal and regulatory requirements governing general assemblies and shareholder voting rights

Timely publication of all mandated reports in accordance with applicable laws and regulations, including interim and annual financial statements, management commentary reports, board performance reports, internal control evaluations, and independent auditor reports, all accessible via the company’s official website

Scheduling of dividend payments to ensure no preferential treatment toward controlling shareholders over other shareholders

Attendance of the CEO, board members, and the head of the audit committee in general assemblies, along with the company’s CFO when financial statement approvals are on the agenda

Taking appropriate actions regarding matters raised in the independent auditor’s report and the statutory auditor’s report, and documenting such decisions in shareholder meeting minutes

Determination of compensation for non-executive board members and bonuses for all board members by resolution of the General Assembly

Ensuring sufficient time and opportunity for meaningful shareholder questions and engagement with the board during general assemblies

Disclosure of key information such as full names, qualifications, education, professional credentials related to CEO and board members, executive or non-executive status, board independence, shareholding percentages, and the company’s governance structure and practices, within the management commentary report

Strategic Orientation and Vision

As a strategy-driven enterprise, Middle East Sugar Agro-Industrial Company aligns its strategic planning with higher-level directives, particularly the strategic roadmap outlined by its parent company, Arman Industrial Group.

The company defines its core mission as investing in production, operational excellence, and capacity expansion by leveraging high-efficiency, cutting-edge technologies. It aims to be recognized as the leading sugar beet processor in Iran by 2025. In pursuit of this goal, the company has identified the following strategic priorities:

Specialized Committees

Risk Committee: Responsible for identifying, assessing, and monitoring the company’s exposure to strategic, operational, financial, and compliance-related risks, and for recommending appropriate risk mitigation strategies.
Nomination and Compensation Committee: Oversees the nomination process for board and executive positions, evaluates performance, and proposes compensation policies aligned with the company’s strategic goals and shareholder interests.
Audit Committee: Supervises the integrity of financial reporting, internal control systems, and compliance with regulatory requirements. It also liaises with internal and external auditors.
Investment Committee: Evaluates and approves major capital investments, M&A opportunities, and long-term financial strategies to ensure alignment with the company’s growth objectives.

Competitive Advantages

Strategic location in Khuzestan Province — one of the few regions in the world suitable for autumn sugar beet cultivation.
A strong focus on autumn cultivation, unlike most domestic sugar producers, resulting in lower risk from climate variability and water scarcity.
Less than 200 kilometers from Imam Khomeini Port as distance, the country’s main hub for essential goods; offering a logistical edge in raw sugar refining.
Less than 150 kilometers from the Iraqi border, providing a competitive advantage for export activities.
As the largest sugar extraction plant from sugar beet in Iran, the plant has a daily processing capacity of 5,000 tons of sugar beet and 700 tons of raw sugar.

Board Members