Mondelez International has signed a lease agreement to build a new biscuit factory with an initial investment of $90m in Bahrain.
Earlier in October 2014, Mondelez announced plans to build the factory, claimed to be the company's most advanced biscuit manufacturing plant, to cater to the rising demand in the Middle East and Africa.
As per the agreed terms, the company will be provided with 250,000m2 land in the Salman Industrial City, reports TradeArabia News.
With the commercial production scheduled to commence during early 2016, the new facility will operate four biscuit-manufacturing lines during the initial two- to three-year phase, with an overall capacity of about 90,000t per year.
The new plant is expected to create 300 direct jobs by the end of the initial phase.
Mondelez Integrated Supply Chain executive vice president Daniel Myers previously said: "This investment in Bahrain is part of our ongoing supply-chain reinvention plan.
"We're implementing several such initiatives around the world to capitalize on growing demand, while also reducing costs and improving productivity."
The company's supply-chain reinvention scheme is anticipated to deliver $3bn in gross-productivity savings, $1.5bn in net savings and $1bn in incremental cash over the following three years.
Image: The new facility will operate four biscuit-manufacturing lines during the initial two- to three-year phase. Photo: courtesy of artur84 / freedigitalphotos.net.
