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Nestlé to build new production facility in Thailand
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Tuesday, 14 July, 2026, 13 : 00 PM [IST]
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Samut Prakan, Thailand
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Nestlé is investing CHF 563 million to build a new Nescafé production facility in Thailand, a dynamic coffee market worth roughly CHF 1 billion. The facility will also feature an advanced, on-site distribution centre, enabling shorter delivery times, better inventory management and greater agility.
Remy Ejel, executive vice president and CEO of Nestlé's Zone Asia, Oceania and Africa (AOA), said, "Coffee is Nestlé's largest business globally, and Thailand is one of our biggest coffee markets. By investing in Nescafé, one of our most iconic global brands, we are strengthening our ability to meet growing consumer demand and ensuring local brand relevance to deliver consistent, volume-led growth. This new state-of-the-art factory will increase our Nescafé production capacity in Southeast Asia and contribute to the long-term growth of our coffee business in one of the world's most dynamic coffee markets."
Located in Samut Prakan province, the new factory will produce a full range of products, including soluble coffee, coffee mixes and ready-to-drink coffee beverages. The facility will employ more than 500 people and support Thai farmers and suppliers through the use of local ingredients and raw materials, worth more than CHF 100 million each year. The factory is expected to begin operations in the latter part of 2028 and will provide a boost to the local economy and surrounding communities.
The new facility will use the most advanced technology, automation and AI-enabled systems to improve quality, efficiency and sustainability. This includes its latest next-generation coffee extraction and aroma recovery technology to preserve the rich aromas released from roasted coffee and help deliver a fresher coffee experience. The facility will also use robotics and automated systems to streamline packing, transport and inventory management.
The project has received investment support from Thailand's Board of Investment, as it is in line with the country's goal to promote a Bio-Circular Green (BCG) economy. The company has been present in Thailand for more than 130 years and is a major buyer of locally grown Robusta coffee. Reinforcing its long-term commitment to Thailand's coffee sector, the new factory builds on more than 40 years of support for Thai coffee farmers through the supply of coffee plantlets and programs that promote regenerative agriculture and climate resilience, helping improve livelihoods, strengthen coffee quality and protect the environment.
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