Bahrain: Armacell to invest $16m in production hub
Scheduled to open in H1 2017, Armacell’s $16m Bahraini manufacturing facility is expected to create more than 100 jobs in its first three years of operations
Insulation supplier, Armacell, has revealed that it will invest $16m (BHD6bn) into its planned Bahraini manufacturing facility.
Located in Bahrain International Investment Park (BIIP), the plant will be used to produce elastometric rubber insulation for the heating, ventilation, and air conditioning (HVAC) clients across the GCC and Africa.
The facility, which has been set up and registered in collaboration with Bahrain’s Economic Development Board (EDB), will create more than 100 jobs during its first three years of operations, according to Armacell.
The production hub is scheduled to open in H1 2017.
Commenting on the development, general manager of Armacell Middle East Company (AMEC), said: “We are very pleased with the speedy progress we have made in establishing our first manufacturing plant in Bahrain.
“We are excited to begin our operations and to take advantage of the opportunities within the Gulf market. The EDB has been supporting us from the start of our endeavour.”
Zayed R Al Zayani, Bahrain’s Minister of Industry, Commerce, and Tourism, said: “The Bahraini government has created world-class infrastructure, greatly benefitting companies such as Armacell, and businesses are increasingly realising the logistical and economic benefits of locating here.
“Choosing Bahrain as a location for Armacell’s manufacturing facility is a reflection of investor confidence and testament to our business-friendly environment. This is a very exciting project, and we look forward to working closely with Armacell as [it develops its] business model.”
Khalid Al Rumaihi, chief executive of the EDB, added: “We are proud to see Armacell’s progress in establishing its new manufacturing facility in Bahrain. Specialist manufacturers like Armacell have an important role to play in enabling the growth and diversification of the region’s economy, as well as directly creating jobs.”
Manufacturing accounts for 14.6% of Bahrain’s real gross domestic product (GDP), having grown by 20% over the past five years.
The sector is the second largest contributor to the country’s non-oil economy.