Unilever, one of the world’s largest fast moving consumer goods companies, revealed that it will be expanding its state-of-the-art Lipton tea manufacturing facility, located in Jafza in Dubai, to meet the rising demand for tea in the region. 

Despite the turbulent economic and business conditions, Unilever continues to invest in one of its biggest and globally renowned brands, Lipton. The expansion will enable the Lipton Tea Factory to increase its production capacity of both black and green tea to cope up with the rapidly growing consumer demand.

According to Tim Drury, vice president supply chain, Unilever North Africa, Middle East and Central Africa, “The number of tea cups consumed annually in this part of the world is approximately 13.4 billion,” making the region one of the highest tea per capita consumption regions around the world today.

In the period between 2004 and 2007, tea was growing at a modest pace of over 5% but today, the tea category is growing with a constant double-digit growth. The rapid growth of the non-black tea segments has also helped drive Unilever’s expansion plans. 

“In the last five years, we have introduced green tea, chai latte and lately the pyramids tea bags which all received an overwhelming response from our consumers in the region,” Drury said. “The non-black tea market segment fosters our confidence in growth in the years to come.”

The Lipton tea factory in Jafza is Unilever’s second largest tea manufacturing plant in the world, producing an astonishing one million tea bags per hour. This excludes the other variants of tea such as loose tea that the factory produces. 

“The MENA region represents a vital market for tea manufacturers and we commend Unilever for their business foresight in further expanding their state-of-the-art tea manufacturing facility in Jafza, their second largest tea production facility in the world,” Ibrahim Mohamed Al Janahi, deputy c.e.o., Jafza and chief commercial officer, said. “The Lipton plant reflects the company’s continued trust and confidence in the UAE and Jafza. The company has grown from strength to strength since it set up base with us 18 years ago and we remain committed to supporting the success of such a valued and long-standing partner.”

Until 1998, the tea for the Arabian markets was sourced from the UK. The strategic geographical location between tea growing areas and the world’s largest tea markets encouraged Unilever to establish its first fully automated tea factory in 1998 in Jebel Ali Free Zone in Dubai. While the factory was originally conceived to supply to the local markets, the site has since grown in capacity and geographic reach. With production volumes increasing from 5,000 tons to over 25,000 tons in 10 years, the site is today a global sourcing hub exporting tea to over 41 countries worldwide.