ASIA: Nestle plans ASEAN investment
15 June 2009 | Source: just-food.com
Swiss food giant Nestlé has
reaffirmed its commitment to growth in its south-east Asia, unveiling
plans to invest CHF260m (US$238.4m) in the region during 2009.
Speaking at a media conference at the end of
his tour of south-east Asia, Nestlé CEO Paul Bulcke said that the
company would continue to expand its business and manufacturing
facilities in the region.
Over the last three years, Nestlé has invested
over CHF550m in its ASEAN operations and, in 2008, Nestlé’s business
ASEAN business posted 15% organic growth, with sales of around CHF5bn.
In Thailand, Nestlé will open a Nestlé Purina
pet food and expand the existing Navanakorn facility, where the group
produces milk and coffee products.
In Vietnam, Nestlé will invest a total of
CHF13m during the current fiscal year. As part of his Asian tour,
Bulcke opened the new Maggi production plant in the Dong Nai province
in Vietnam. The investment will create over 800 jobs by 2010. The plant
will meet the growing consumer demand for Maggi products in Vietnam,
Cambodia and the Philippines, the company said.
In Malaysia,
Nestlé has committed a capital investment of CHF85m for 2009 to meet
the increasing demand for Halal products. Nestlé Malaysia is the
company’s Halal centre of excellence and the investment will support
the set-up of new regional plants for Nescafé and non-dairy creamer as
well as the expansion of its Maggi facilities following the stronger
export demands.
Over the last three years “significant
investments” have been made in Singapore for the upgrade and expansion
of the production facilities at the Jurong factory, Nestlé said.
Another CHF3m will be invested in the market in 2009.
Meanwhile,
in the Philippines, Nestlé’s investments in 2009 will amount to CHF72m
and in Indonesia Nestlé will invest a further CHF29m during the year.
Commenting on the announcement, Bulcke said:
“The ASEAN region is a very important part of the Nestlé business, and
our continued commitment and on-going investments demonstrate our
confidence in the region.”
