Arla opens facility for cheese production in Bahrain

International dairy company Arla Foods has opened its new cheese production facility in Bahrain to meet the growing demand for its dairy products in the Middle East and North Africa (MENA) region.

Located in Bahrain’s capital city Manama, the new facility will be used to produce the majority of Arla’s products sold in the region.

Arla gained complete ownership of the production site after it acquired Mondeléz International’s processed cheese business in May.

The opening of the new manufacturing plant will see an increase in the company’s production capacity while improving the efficiency of its supply chain.

Arla Foods CEO Peder Tuborgh said: “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.

“Our decision to make Bahrain our key manufacturing hub for the MENA region demonstrates our confidence in the Kingdom’s rapidly-growing manufacturing sector and alignment with the nation’s Vision 2030 economic diversification plans.

“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.”

Over the next two to three years, Arla intends to invest nearly €50m ($55m) to increase production and create more than 100 direct jobs in the region.

Additionally, the company intends to move production of certain products, including processed cheese and sterilised cream, to this site to increase the shelf life of the products by nearly six-weeks.

Products manufactured at this facility will be sold in the Middle East market and exported to overseas, including the US, West Africa and Southeast Asia.

Arla is planning to increase annual production of Puck, Arla, Dano, Kraft and Private Label brands by more than 100,000t by 2025.

Bahrain is expected to become Arla’s key strategic manufacturing hub in MENA.