Taiwan-Linked $20m Quarantine Project Aims to Boost Somaliland Livestock Exports

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By: Mohamed Duale

HARGEISA — A $20 million livestock quarantine and agro-industrial project backed by private investors from Taiwan, Saudi Arabia and the United States has broken ground near Somaliland’s port city of Berbera, in what officials say is a landmark investment for the Horn of Africa’s export-driven economy.

Taiwan’s representative to Somaliland, Allen Lou, said the project marked Taiwan’s first major private-sector investment in Somaliland and a rare trilateral business venture in East Africa.

“The project marks not only the first major private investment from Taiwan, but also a joint venture undertaken by Taiwanese, Saudi and U.S. private investors in Somaliland and across East Africa,” Lou said at the groundbreaking ceremony.

Located about 7 km southwest of Berbera Port, the Berbera Quarantine Field will cover 88 hectares and is designed to increase annual livestock exports by more than one million head, according to the investment proposal. Livestock is the backbone of Somaliland’s economy and its largest source of foreign exchange.

Once completed, the project will go beyond a conventional quarantine facility. “It will not be just another quarantine plant that helps expand Somaliland’s livestock industry and export market,” Lou said. “It will also be an industrial park that showcases Taiwan’s advanced technology and management expertise.”

The facility will include quarantine zones, veterinary laboratories, unloading and inspection facilities, an incineration plant and an administrative centre. Developers say it will deploy automated systems, IC-chip livestock tracking, Taiwanese veterinary expertise and solar energy, with plans to recycle animal waste into value-added by-products.

Access to the Saudi market is central to the project’s business model. Project partners have signed memorandums of understanding with Saudi firms to purchase up to 500,000 animals annually, supported by Islamic banking certification aimed at widening access to credit and strengthening links with Middle Eastern buyers.

Developers say construction will take about 10 months, with pilot operations expected in late 2026 and full commercial operations from 2027. The initial $20 million phase is intended as a showcase investment, followed by expansion phases of up to $280 million covering breeding, agriculture, fisheries and light industry. At full scale, the project could lift Somaliland’s exports by $500 million to $1 billion over time, according to estimates in the proposal.

“The success of this milestone investment will serve as a leading indicator to catalyse more investments from Taiwan and the international community,” Lou said.

The project is backed by Central Sky International, Headwater Capital and the TW–SOM Business Association, in partnership with Somaliland’s Ministry of Livestock. Officials say its success could help position Berbera as a regional logistics and agro-industrial hub along the Red Sea corridor, building on recent port expansion and private-sector investment.

For Somaliland, the project promises job creation, improved export standards and stronger investor confidence. For Taiwan and its partners, it represents both a commercial and symbolic milestone in expanding private-sector engagement in Africa, at a time when geopolitical competition is reshaping investment flows across the region.

© 2025 Horn Diplomat Media

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