Arla Foods to invest €50.9M in Bahrain cheese jar production

Arla Foods plans to invest €50.9 million (US$55.6 million) in its Bahrain facility to expand production of spreadable cheese in glass jars for the Middle East and North Africa (MENA) market. 

The dairy cooperative says the investment will increase output by around 30% to meet rising demand, particularly during Ramadan and back-to-school periods. Both events will coincide in the coming years, creating a seasonal peak in sales. 

The facility in Bahrain produces spreadable cheese for the MENA region, where the product holds a leading position in the glass jar category. Arla Foods acquired the site in 2019 and has since upgraded it to serve as a key hub for the company’s international business.

Executive VP for international Lillie Li Valeur says the expansion will support growth, strengthen regional customer partnerships, and add around 20 jobs. The project includes warehouse facilities, rooftop solar panels, and an updated cooling system, which Arla Foods says will reduce carbon emissions per ton of output. Construction is expected to begin at the end of 2025.