MANAMA: Mondelēz International, which setup its first Kraft cheese plant in the Kingdom of Bahrain in 2006, has become a trend setter for many foreign companies to choose Bahrain as a destination, according to the Government Minister.
“Mondelēz enjoyed an excellent reputation in the global business world, her presence here has had a strong and positive influence on the decision making process of many of the foreign companies who have chosen to locate here,” the Minister of Industry and Commerce Dr Hassan Fakhro told the gathering at Mondelēz plant at BIIP on Tuesday.
Mondelēz International, the global snacks powerhouse with a portfolio of iconic brands such as Oreo biscuits and Cadbury chocolate, it was previously known as Kraft announced the production of its one billionth unit at its cheese and powdered-beverage plant in Bahrain. The plant opened in late 2007.
Mondelēz International celebrated the milestone with an event at its site in the Bahrain International Investment Park (BIIP) at Salman Industrial City, under the patronage and in the presence of the Minister of Industry and Commerce of the Kingdom of Bahrain, Dr. Hassan Fakhro in presence of Thomas Krajeski, Ambassador of the United States of America to the Kingdom of Bahrain; and, from Mondelēz International, Vishal Tikku, Vice President and Area Director Middle East, and Terry Denton, Bahrain Plant Director in addition to a number of businessmen, investors and Ministry officials.
The Minister delivered a speech congratulating the company for the outstanding achievement. In this occasion Dr. Fakhro delivered a speech stating that since that day in my office in July 2006, when you announced your project, you have not alone achieved but surpassed all of the commitments you made to me then in terms of timescale to establish the project; total investment target; employment target and Bahraini employment target.
Highlight the importance of foreign investments coming to Bahrain he said to date 103 companies have now made commitments to invest US$1.8 billion here. These companies have the potential to provide over 10,000 jobs at full production.
Over half of these companies come from outside of Bahrain and they have headquarters in Germany, USA, UK, France, India, Singapore, China, Japan and the Kingdom of Saudi Arabia and many others. These foreign companies represent over 80 % of the total investment commitment of US1.8billion. Out of which 58 of new projects are already operational and they employ over 3,500 people. The top 10 of these companies, including Mondelez have already invested $1.1 billion to date at the Park.
Dr. Fakhro said that what has been achieved here to date at the Bahrain International Investment Park could not have been done without the support and commitment of many government agencies and service providers.
Dr. Fakhro affirmed again, the full support of the Government and all of its agencies in the implementation and development of these new projects.
The plant, in which investment has doubled since inception to at least US$75 million, produced its first Tang powdered-beverage product in November 2007 and its first Kraft cheese product in December the same year.
The plant, which can produce as many as 650,000 units of cheese and Tang product units per day, is home to a 250-strong skilled labor force, with the creation of more jobs a possibility in the near future. The plant, which exports across the Middle East and Africa region, contributes approximately $50 million per year to the Bahraini economy through wages, raw- and packaging-material supplies, and shipping and distribution operations.
Approximately 27% of the labor force are Bahraini nationals, with a view to increasing this to 35% over the next two years.
“Over the last six years, we’ve exported premium-quality products from this Manama facility to more than 20 countries worldwide. As the world’s biggest snacks company, with strong origins in the Middle East dating back nearly 100 years, we are delighted to have hit this milestone in Bahrain and to be contributing to the local economy in the way that we do,” Mondelēz International’s Vishal Tikku said.
Mondelēz International was the first company to start operations in the BIIP. The plant has added state-of-the-art cheese-manufacturing equipment during the last 12 months that enables a wider product range to be produced. Rising demand is leading to the planned installation of two more production lines at the plant over the next two years, one each for powered beverage and cheese. It is hoped for the company to expand its business in the management and production to become one of the major companies in size and investment.