Arla Foods announced a major expansion of its facility in Bahrain’s International Investment Park. The investment adds 8,000 square meters to the company’s largest site outside Europe. As a result, it will increase annual production by 30%, making Arla one of the largest dairy producers in the MENA region.
The groundbreaking ceremony included senior officials and industry leaders. Attendees were HE Sameer Nass, chairman of the Bahrain Chamber of Commerce and Industry; HE Eman Ahmed Al-Doseri, undersecretary of the Ministry of Industry and Commerce; and Ali Al Mudaifa, chief of business development at the Bahrain Economic Development Board. Moreover, the event highlighted strong government support for private investment.
The expansion will increase production of spreadable cheese jars under Arla’s Puck brand. In addition, it allows the company to export to new markets beyond its presence in more than 20 countries. Experts say the investment strengthens Bahrain as a regional hub for food manufacturing.
Kim Villadsen, senior vice president of Arla Foods MENA, said the expansion “strengthens our regional leadership, increases production capacity, and advances sustainable growth. Furthermore, it shows our long-term commitment to the families and communities we serve across the MENA region.”
Since acquiring the Bahrain site in 2019, Arla Foods has developed local talent. Bahrainis now make up more than half of the workforce. Additionally, the company focuses on skills development and creating jobs in the dairy sector.
Arla Foods received a Golden License at the Gateway Gulf Investment Forum 2025. The license provides streamlined services for large-scale projects. Consequently, observers say it shows Arla’s long-term commitment to Bahrain and its focus on sustainable job creation.
The facility expansion supports Bahrain’s goal to attract foreign investment and strengthen industrial capacity. Moreover, by increasing production and exports, Arla enhances its presence across the Gulf and wider MENA region.
In conclusion, Arla Foods’ $60 million Bahrain expansion highlights its regional ambitions. Finally, the move boosts economic growth, creates jobs, and ensures sustainable dairy production. It also reinforces Bahrain’s reputation as a hub for international food industry investment.
