Nine companies, including Kraft, have commenced construction of their facilities at the Bahrain International Investment Park (BIIP) in Hidd.

They are among 39 BIIP projects approved by the Ministry of Industry.  The approved enterprises cover a total investment of BD195 million and will generate 5,000 jobs.
BIIP is being developed and managed by a private consultancy International Development Ireland (IDI), a spinoff from the Irish government’s Investment Development Agency, which was successful in attracting international industrial investment in Ireland from the US.
Industries approved so far include multinationals and are all in the category of light to medium manufacturing with operations set to be environmentally clean. The approvals cover 250 hectares, roughly 30 per cent of the current park area.
They will cover a wide spectrum of industries including fiberglass manufacturing, printing and publishing, paper processing, packaging, models manufacturing, radiators and cooling equipment, sugar refining, food processing, engineering, data storage, software development, production of PVC compounds and rubber tiles.
The park was devised after the Ministry of Commerce and Industry decided to develop a new type of industrial area to win new types of projects, said Rory Mullen, development director, BIIP. “IDI was in discussion with the ministry at the beginning of 2005 before contracting the company to manage and develop the new park. We branded it. We came up with a Master Plan for Zoning and started marketing in the US, Europe and Africa.”
The park is being marketed as a landmark development in Bahrain providing a fine location for high-quality foreign direct investment and export-oriented domestic projects.
“Located within the GCC, the park’s advanced facilities and special customs services offer businesses an unsurpassed base with direct connectivity to the very heart of regional markets,” BIIP says
Mullen said the park was attracting companies that did not want to be in an expensive downtown operation. With Dubai getting more expensive, many international firms were looking at Bahrain more favourably.
Mullen said BIIP offered incentives that would cut costs and serve the interests of the businesses. These include 100 per cent foreign ownership of companies, 0 per cent tax with a 10-year guarantee; special customs services; no recruitment restrictions and dedicated assistance with all corporate and human resource formalities. The offices and factory units are offered with long leases.
“We allow 100 per cent ownership, but we are not a free zone. We come within the GCC and this is a key selling point. Companies can distribute their products duty free throughout the GCC,” said Mullen.
BIIP is adjacent to the new Shaikh Khalifa bin Salman Port and 5 km from Bahrain International Airport. It enjoys direct motorway access to Saudi Arabia via the 25-km Saudi-Bahrain Causeway, only 20 minutes away.
Companies that have commenced construction work are Kraft, Abahsain, Halwachi Food, Matrikon, Yokogawa, Kuwait Finance House, Ramex International, Oriental Press and GLS.