Nestlé to build Thailand coffee factory after end of JV

Nestlé is spending SFr563m ($697.6m) to physique its ain java accumulation works successful Thailand aft the extremity of a section associated venture.

Between 1990 and 2024, the Swiss elephantine had worked with section radical Quality Coffee Products (QCP) to manufacture Nescafé products successful the country.

The declaration ended successful December 2024, with the breakup triggering tribunal proceedings, which yet recovered successful favour of Nestlé earlier this year.

Since 2025, Nestlé has maintained the accumulation of Nescafé drinks successful Thailand done installing lines successful existing factories, outsourcing to section firms and temporarily importing products, it told Just Drinks.

The caller works successful the Thai state of Samut Prakan volition proviso some the home marketplace and neighboring countries.

The mill volition marque assorted Nescafé products, spanning soluble coffee, ready-to-drink options, and java blends, it said successful a abstracted connection contiguous (9 July).

The tract volition besides see a organisation centre.

The installation is owed to commencement operations successful the second fractional of 2028 and volition beryllium equipped with the "most precocious technology" and AI-enabled systems, it added.

The Swiss nutrient and drinks elephantine described Thailand arsenic a "dynamic" java marketplace with an estimated worth of astir SFr1bn.

It has operated successful the state for much than 130 years and, according to its 2025 yearly report, runs 7 factories there.

Remy Ejel, the enforcement vice president and CEO of Nestlé Zone Asia, Oceania and Africa (AOA), said: "This caller state-of-the-art mill volition summation our Nescafé accumulation capableness successful Southeast Asia and lend to the semipermanent maturation of our java concern successful 1 of the world's astir dynamic java markets."

Nestlé said the caller mill volition make much than 500 jobs and root ingredients locally.

The concern has secured backing from Thailand's Board of Investment and aligns with the government's ambition to beforehand a bio-circular greenish (BCG) economy.

The task adds to a broader tally of coffee-related investments announced by Nestlé past year.

In March, the institution said it would walk astir €15m (then $15.7m) astatine its Girona mill successful Catalonia, Spain, wherever it is adding 2 packaging lines for Nescafé instant java and Nescafé Dolce Gusto capsules.

A period later, it announced plans to put VND1.9trn (then $73m) for the enlargement of a java accumulation installation successful Vietnam's Dong Nai province.

In November, Nestlé said it would put £28m (then $36.7m) astatine its Dalston works successful Cumbria to conception a caller mixing installation and adhd 2 packing lines for the Nescafé Frothy Coffee instant beverage range.