Heineken (HEINY, Financial) plans to establish the Gulf region's first major brewery in Dubai, marking a significant step for an area with traditionally strict alcohol regulations. The joint venture, Sirocco, between Heineken and Dubai-based Maritime and Mercantile International, announced plans to begin construction by the end of next year, with completion expected in 2027. The brewery will produce brands like Heineken, Kingfisher, Amstel, and Birra Moretti, increasing the workforce from 60 to 190 employees.
Dubai, a major business and tourism hub in the Middle East, has gradually relaxed alcohol consumption and sales regulations over the years. The city recently removed a 30% sales tax and license fees for alcohol, although sales to Muslims remain restricted. This new brewery indicates a shift towards economic diversification in the Gulf region, aiming to reduce dependency on oil and attract more tourists and expatriates.
