Switzerland-based multinational Nestlé is going to invest 50 million reais (US$ 31.1 million) in Brazil, tripling production capacity at its factory unit in Feira de Santana, a municipality located 110 kilometers (68 miles) away from Salvador, capital of the state of Bahia, in Northeast Brazil.
Inaugurated last year, the factory should start producing 120,000 tons per year, as against the 40,000 tons currently produced. The project includes five new production lines, for morning cereals, dairy products, beverages, chocolate drinks and yogurts.
The factory, which already processes instant pastas, cereals and soluble coffee, is going to hire 1,000 new employees for the new project. The enterprise will have a built area of 80,000 square meters (861,000 square feet), of which 14,000 meters (151,000 feet) will be added with the expansion.
In the last three years, in the North and Northeast regions of Brazil alone, Nestlé invested 30 million reais (US$ 18.6 million) in marketing. The two regions comprise approximately 50 million local consumers.
Nestlé, one of the world's leading nutrition companies, operates in 86 different countries. In Brazil, the company installed its first factory in 1921, in the city of Araras, interior of the state of São Paulo, in the Southeast, for condensed milk manufacturing.
The segments in which the company operates in Brazil are children's foods, chocolate drinks, biscuits, coffee, morning cereals, water, chocolate, cooking ingredients, dairy products, refrigerated products, ice cream, clinical nutrition products, services to companies and professionals in the out-of-home food sector (FoodServices), and feed for household pets.
Nestlé Brazil has 28 industrial units in the states of São Paulo, Minas Gerais (Southeast), Bahia (Northeast), Goiás (Midwest), Rio de Janeiro (Southeast), Rio Grande do Sul (South) and Espírito Santo (Northeast).
The company generates 16,700 direct and 220,000 indirect jobs, which are responsible for the manufacturing, commercialization and distribution of 1,300 items sold under 200 different brands by Nestlé in the country.
Within the Nestlé Group, sales by the company in Brazil rank second in volume and fourth in value, having tripled in the last five years.