Nestlé injects extra $73 mln into southern Vietnam plant

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Nestlé Invests $73 Million to Expand Processing Capacity at Southern Vietnam Plant

Nestlé has committed an additional $73 million to expand its Tri An factory in Dong Nai province, southern Vietnam, aiming to boost processing capacity and strengthen its local supply chain. The investment underscores Vietnam’s rising importance in Nestlé’s regional operations and reinforces its long-term presence in Southeast Asia.

The increased funding raises Nestlé’s total investment in Tri An to over $400 million since its establishment in 2011. The expansion will focus primarily on coffee production, supporting the group’s global Nescafé portfolio. Vietnam is the world’s second-largest coffee producer and a key sourcing country for Nestlé, which has been leveraging its local procurement to streamline manufacturing and export operations.

According to Nestlé Vietnam CEO Binu Jacob, the move aims to not only scale processing capabilities but also to build a greener, more sustainable operation. The factory is being upgraded with advanced technologies prioritizing energy and water conservation, reduced emissions, and circular resource usage—aligning with Nestlé’s broader environmental commitments.

Jacob highlighted the company’s continued emphasis on local sourcing, with around 90% of raw materials—mostly coffee—grown domestically. The strategy enhances supply chain resilience and contributes to Nestlé Vietnam’s strong export performance. Approximately 60% of the site’s output is shipped to more than 25 markets globally, reinforcing Tri An as a strategic manufacturing hub in the company’s global network.

The expanded facility is expected to generate new skilled job opportunities, contributing to Vietnam’s economic development in the southern region. Nestlé currently operates four factories and two distribution centers across the country, with a workforce of over 2,300 employees.

This latest investment signals growing opportunities in Vietnam’s FMCG landscape, particularly in the coffee category, which continues to exhibit strong global demand. For industry stakeholders, Nestlé’s scaling of local operations reflects an increasingly localized approach to sourcing, manufacturing, and export—backed by sustainability innovation and agile supply chains.

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