Turkish manufacturer Hayat DHC will invest 13.4 billion Algerian dinars (US$103 million) to build a paper products factory in northwestern Algeria, authorities said, as the country seeks to expand domestic manufacturing and cut reliance on imports.
The project was announced by the Algerian Investment Promotion Agency (AAPI) following a meeting between its director general, Omar Rekkache, and a delegation from the Turkish group.
The plant will be located in Relizane, around 290 kilometres west of Algiers. Once operational, it is expected to produce 70,000 tonnes of jumbo paper rolls annually, alongside 24,275 tonnes of tissue paper and 20,000 tonnes of paper-based hygiene products each year.
Authorities say the investment will create 960 direct jobs and contribute to reducing Algeria’s import bill by substituting locally manufactured paper and hygiene products for imported goods.
Rekkache formally launched the project’s implementation phase by handing the investment registration certificate to company executives. He emphasised the importance of strengthening local supply chains and gradually increasing the national integration rate of finished products.
He also reaffirmed the agency’s readiness to support the Turkish group in establishing additional industrial units or localising subcontracting activities to build a more integrated industrial network in Algeria.
Hayat DHC operates 67 subsidiaries across 17 countries and is active in sectors including household cleaning products, baby diapers, personal care items, feminine hygiene products and paper goods.
The group already has a presence in Algeria, where it runs a factory producing detergents and hygiene products. It also operates in Egypt, Morocco and Nigeria, expanding its footprint across North and West Africa.
The investment aligns with Algeria’s broader strategy to diversify its economy beyond hydrocarbons by promoting industrial production and attracting foreign direct investment into manufacturing sectors deemed strategic for domestic consumption and employment generation.
Algeria has in recent years stepped up efforts to diversify its hydrocarbon-dependent economy by encouraging investment in manufacturing and import-substitution industries. The government has introduced a revised investment framework aimed at simplifying procedures, offering tax incentives and improving access to industrial land in a bid to attract both domestic and foreign investors.
The Algerian Investment Promotion Agency (AAPI), established to replace the former investment development agency, plays a central role in implementing these reforms and fast-tracking strategic projects. Authorities have prioritised sectors such as agri-food, pharmaceuticals, steel, textiles and paper products to reduce the country’s heavy reliance on imported consumer goods.
Algeria’s import bill for household and hygiene products has weighed on foreign currency reserves, particularly during periods of lower oil and gas revenues. Expanding local production capacity in paper and tissue manufacturing is seen as a way to curb outflows of hard currency while creating jobs and strengthening domestic supply chains.
Turkey has emerged as one of Algeria’s key economic partners in recent years, with bilateral trade and investment expanding across construction, textiles, steel and consumer goods. Turkish firms are among the largest foreign investors in Algeria’s non-hydrocarbon sectors.
Hayat DHC is part of that growing presence. The group, which manufactures fast-moving consumer goods including tissue and hygiene products, already operates a production facility in Algeria and has expanded across North and West Africa, including in Egypt, Morocco and Nigeria. Its new investment in Relizane builds on that footprint and reflects a broader trend of regional manufacturing expansion by Turkish companies seeking access to African markets.