Nestlé Continues to Increase Its Production in the Vietnamese Market by Investing an Extra $100 Million

DNHN - Nestlé Vietnam announced on January 8, 2024, an additional investment of $100 million to increase the capacity of the Nestlé Tri An factory in Dong Nai's high-quality coffee processing lines, bringing the total investment to more than $500 million.

The additional investment in the Nestlé Tri An factory will help increase capacity and output to meet the growing demand for coffee, continuing to make the Vietnamese market a centre for the production and supply of high-value coffee for the domestic and international markets.

Currently, coffee products manufactured at the Nestlé Tri An factory have been exported to more than 29 countries worldwide. In addition, Nestlé is also the largest coffee buyer with a total annual purchase cost from Vietnam of up to $700 million.

Sharing about this investment, Mr Binu Jacob - General Director of Nestlé Vietnam said: “The project is a testament to Nestlé’s long-term investment commitment in Vietnam. It is expected that when the project comes into operation, the factory’s capacity will double, meeting the consumption needs of the domestic market and effectively exploiting export potential, making Vietnam a centre for the supply of high-value coffee to the world. At the same time, through this project, we also hope to be able to create more job opportunities and continue to expand long-term investment activities in Vietnam, contributing to the sustainable economic development and prosperity of the country”.

Sustainable coffee production is one of Nestlé’s key directions in Vietnam. In addition to investing in production technology, the Nestlé Tri An factory has always been a pioneer in sustainable development through the use of clean energy, biomass energy, the application of a circular economy in waste management and the conservation of water resources.

Accordingly, each year the Nestlé Tri An factory can reduce more than 14,000 tons of CO2 emissions during coffee processing. In addition, 100% of the coffee grounds after production are reused by the factory as biomass. Wastewater in the coffee production process is also treated, recycled, and reused for the boiler, helping the factory save more than 112,000 m3 of water per year.

At the same time, with the desire to contribute to improving the quality of Vietnamese coffee beans, since 2011, Nestlé has implemented the NESCAFÉ Plan in the Central Highlands region. The programme has also brought positive solutions to the sustainable development of the Vietnamese coffee industry from the distribution of high-quality seedlings, farming according to the direction of regenerative agriculture, and protection of water resources and biodiversity.

“With a sustainable business strategy, Nestlé Vietnam not only creates nutritious products, improves the quality of life of Vietnamese people, increases the value of the country’s coffee beans but also aims to protect and regenerate resources for future generations”, Mr Binu Jacob shared more.

To date, the Nestlé Group has invested nearly $830 million through Nestlé Vietnam Company Limited with 4 factories and 2 distribution centres. In Dong Nai province alone, the company operates 3 factories, of which Nestlé Tri An is one of Nestlé’s largest factories in Vietnam. This is also one of the coffee processing factories with the largest scale and most modern technology in the Group’s region. Currently, the factory is producing coffee products with familiar brands, including NESCAFÉ, NESCAFÉ Dolce Gusto, NESPRESSO, Starbucks and Blue Bottle.

Having been present in Vietnam for nearly 3 decades, Nestlé Vietnam Company has been honoured to receive a certificate of merit from the Prime Minister and many certificates of merit from ministries and sectors in the fields of contributing to the State budget, prestigious export enterprises, typical enterprises for workers, etc. Recently, in December 2023, Nestlé Vietnam was ranked Top 01 Most Sustainable Enterprise in Vietnam in the manufacturing sector by the Vietnam Business Council for Sustainable Development (VBCSD), under the Vietnam Chamber of Commerce and Industry (VCCI) voted and announced. This is also the third consecutive year that the company has been honoured to receive this title.

Pham Ha