MEXICO CITY (Reuters) – Packaged food company Nestle (NESN.S) said on Tuesday that it will invest $154 million(121.81 million pounds) next year to launch a new coffee processing plant in the Mexican state of Veracruz.
The plant will generate 250 jobs at first and 1,200 when it reaches full capacity, Nestle said. The facility is expected to process 20,000 tonnes of coffee per year.
Mexican President Andres Manuel Lopez Obrador, who took office this month, touted the investment in a video message on Tuesday with Fausto Costa, executive president of Nestle Mexico.
Fausto Costa, CEO of Nestlé Mexico, said: “We are very pleased to share joint objectives with president Andrés Manuel López Obrador and his team. We both believe in supporting young people, where Nestlé has been a pioneer in the country. We also both believe in the strengthening of the Mexican countryside and the importance of accelerating the growth of the southeast region.
“This new investment in Veracruz confirms our commitment to Mexico and its people; the country’s economic stability and competitiveness have been fundamental factors to strengthen us as Nestlé’s fifth largest market worldwide.”
Nestlé’s coffee brands in Mexico include Nespresso, Nescafé and Dolce Gusto.
In its most recent quarterly results, Nestlé saw its net sales rise by 1.4% thanks to the performance of its coffee and infant formula brands.
TYT Newsroom with information from Foodbev.com