Nestle plans 270-mln USD coffee factory in VN

VGP – Nestle has recently announced to invest US $270 million in building a new coffee factory in Việt Nam to realize its commitment to the country and reinforce its global Nescafe Plan.

August 10, 2011 2:43 PM GMT+7

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Nestle plans to locate the factory in the southern province of Đồng Nai where coffee farming is popular, in a bid to reduce production costs and generate jobs for local people.

When becoming fully operational by 2013, the factory will produce products under the Nescafe brand for both local consumption and export.

Under its Nescafe Plan, over the next five years in Vietnam, the Swiss food and beverage giant Company aims to purchase 30,000 tons of coffee from around 16,000 farmers every year.

The Company is working together with the Vietnamese Ministry of Agriculture and Rural Development to improve coffee productivity by encouraging growers to apply better farming practices and high-yield and disease-resistant varieties.

Nestle’s decision showed positive signs in local investment environment and domestic retail sale market./.

By Kim Anh