July 5, 2010

Nestle Philippines to build new US$86-million factory

Nestle Philippines is investing PHP4.3 billion (US$86.07 million) over two years for a new factory in Tanauan, Batangas.

The factory, which will be built on a 27-hectare property, will be completed in March 2012. It will produce Nestle products Coffee-mate non-dairy creamer and Bear Brand powdered milk, two of the company's bestsellers.

Nestle said the Tanauan factory will directly employ a work force of 170 people, and generate jobs in sectors providing raw materials and services.

Nestle chairman and chief executive John Miller said the new investment is a clear demonstration of the company's confidence in the Philippines. It was said earlier that Nestle is moving its facilities to Indonesia wherein local officials denied.

Aside from the new facility, Nestle said it will also invest to upgrade and expand its existing 4 facilities in Cabuyao, Laguna; Lipa, Batangas; Pulilan, Bulacan; and Cagayan de Oro.

Nestle is one of the key players in the fast-moving consumer goods industry. It manufactures coffee, milk, beverage, creamer, infant nutrition, ice cream, and breakfast cereals.

It has invested close to PHP10 billion (US$215.19 million) in the Philippines in the last 5 years.