Plans to build the 1.78 million square foot facility in TechnoPark were first announced in 2007, as part of a US$400m investment programme in the region. Revenues from the Middle East amounted to some $1.4bn in 2009.
Nestle has 17 factories and 37 offices in the Middle East region overall.
Yves Manghardt, chairman and CEO of Nestlé Middle East, said production capacity is large enough for expansion in the coming years.
Milk powder production has already started, as has packaging of imported Mackintosh's Quality Street chocolates. Chocolate and wafer manufacturing will start later this year, and there are also plans to bottle and distribute water from the site.