Arla Foods has opened a new cheese production facility in the Kingdom of Bahrain. The site will create more than 100 local jobs and become the dairy cooperative’s manufacturing hub in the Middle East and North Africa (MENA).
The opening follows Arla’s acquisition of Mondeléz International’s processed cheese business in the region in May this year, which also gave it full ownership of the production site. Arla plans to invest around €50 million ($55m) in the new facility over the next two to three years.
“The Middle East and North Africa is a priority market for us and the inauguration of this production site in the Kingdom of Bahrain consolidates our commitment to the region,” said Peder Tuborgh, chief executive of Arla Foods. “Dairy is an integral part of a healthy diet and this new facility will enable us to increase production and step change our innovation speed to meet increasing consumer demand.”
In 2018, Arla’s retail and foodservice revenue in the MENA region reached €560m ($617m). By 2025, the cooperative expects to increase annual production in Bahrain to more than 100,000 tonnes under Puck, Arla, Dano, Kraft and private label brands.