Manama : Arla Foods announced the groundbreaking of its facility expansion in the Kingdom of Bahrain, located in the Bahrain International Investment Park, in the presence of senior officials and executive members of Arla’s management team from across the region. Valued at over USD 60 Million (50.9 million Euro), the milestone investment will add 8,000 sqm to Arla’s largest production facility outside Europe and will increase its annual production volume by 30%, making Arla one of the largest dairy makers in the region.
The ground-breaking ceremony was attended by a distinguished group of senior officials and
industry leaders, including HE Sameer Nass, Chairman of Bahrain Chamber of Commerce and
Industry; HE Eman Ahmed Al-Doseri, Undersecretary of the Ministry of Industry and Commerce;
and Mr. Ali Al Mudaifa, Chief of Business Development at the Bahrain Economic Development
Board (Bahrain EDB). Their participation reflects strong cross-sector collaboration, highlighting
Bahrain’s integrated ecosystem in supporting investment and growth across the manufacturing
sector.
The Dairy cooperative’s major investment of more than USD 60 million in expanding its Bahrain
production site will increase the production capacity of the popular spreadable cheese jars sold
under the Puck ® brand while enabling Arla to export to new markets beyond its existing
presence in more than 20 countries.
Her Excellency Eman Ahmed Al-Doseri, Undersecretary of the Ministry of Industry and
Commerce, noted, “This USD 60+ million investment reflects the confidence in Bahrain’s
ecosystem and its attractiveness to diverse industrial investments. Arla’s expansion aligns with
the objectives of the Industrial Sector’s strategic goals (2022-2026) and serves as a model for
advanced and sustainable manufacturing through the adoption of the Fourth Industrial
Revolution technologies and environmentally-friendly energy solutions. The project further
showcases the success of the government’s efforts in attracting value-adding investments within
the sector, as well as supporting industrial development initiatives, further strengthening
Bahrain’s position as a regional hub for food manufacturing.”
Kim Villadsen, Senior Vice President Arla Foods MENA, stated, “By expanding our Bahrain
facility, Arla is strengthening its regional leadership, increasing production capacity, and
advancing sustainable growth, reaffirming our long-term commitment to the families and
communities we serve across the MENA region.”
Ali Al Mudaifa, Chief of Business Development at Bahrain EDB, commented, “Bahrain’s
business-friendly ecosystem and its strategic location connecting east and west have been key
enablers of Arla Foods’ expansion, supporting the company in scaling production and
strengthening its ability to serve regional and global markets. This investment underscores the
Kingdom’s strength as a manufacturing base and reinforces its position as a competitive hub for
advanced food production and regional growth.”
Since acquiring the Bahrain production site in 2019, Arla Foods has made significant progress
in developing local talent, with Bahrainis now accounting for more than half of its workforce. This
reflects the company’s commitment to investing in national capabilities by supporting skilled
employment opportunities and contributing to Bahrain’s Manufacturing sector.
Arla Foods received a Golden License at the Gateway Gulf Investment Forum 2025, highlighting
the company’s continued investment and long-term commitment to the Kingdom. The Golden
License, announced in 2023, provides streamlined services to businesses with large-scale
investment projects in Bahrain with the aim of supporting investment and boosting job creation.
