Manufacturing News

Nestle builds fourth factory in Indonesia; 600 jobs created

Nestle has announced it has begun construction on a $US 200 million factory in Indonesia.

The new factory in Karawang, West Java, is expected to begin production in early 2013.

It will be the fourth Nestle factory in Indonesia and will create another 600 jobs.

It will produce Cerelac infant cereals, Milochocolate malt drinks and eventually Dancow milk powder, Nestle said in a statement, adding that the new factory will be aimed at meeting the increased demand for nutritious, branded products for Indonesian consumers.

“Our decision to invest USD 200 million in Karawang is consistent with the growth in demand and our confidence in the rapidly developing economy of Indonesia,” Arshad Chaudhry, President Director of Nestlé Indonesia said.

“We are very optimistic about the growth opportunities in Indonesia.

"It has a large, progressive population and the economic environment is very conducive for growth.”

“Nestlé’s responsibility is not only to provide consumers with high-quality, nutritious products, but also to create value along our value chains”.

Minister of Industry, M.S. Hidayat, welcomed the project at the official groundbreaking ceremony.

“The new project will give positive contribution for growth of the industry and economy, provides new employment opportunities, which in turn improving income and livelihoods of the society,” he said.

The company recently launched the Nestlé Cocoa Plan in Indonesia, which aims to create a sustainable supply chain for the cocoa industry, and at the same time, helping farmers and their communities.

It has also improved the dairy industry through a partnership with farmers and the Indonesian Procurement and Dairy Development Department to improve milk quality.

Farmers can therefore sell their milk for a higher price, and around 32 000 dairy farmers now supply to Nestle’s factory in East Java.

Image: (Left to right) Arshad Chaudhry, President Director Nestlé Indonesia; M.S. Hidayat, the Minister of Industry of Republic of Indonesia and H. Ade Swara, Regent Head of Karawang; Nestle

Leave a Reply

Send this to a friend