Nestlé Invests 23 Billion Baht in Thai Coffee Plant
Nestlé will invest 23 billion baht to build a major coffee manufacturing plant in Samut Prakan province, expected to begin production in late 2028 and create around 520 jobs while sourcing billions in raw materials from Thai farmers annuall
The Board of Investment has approved Nestlé (Thailand) Limited's request for investment promotion to construct a new coffee manufacturing facility. The factory will produce all types of Nescafé coffee products, including instant coffee, 3-in-1 coffee mix, and canned coffee, with a combined production capacity exceeding 170,000 tons per year to support market growth domestically and regionally. The project includes a large distribution center and has a total investment value of approximately 23 billion baht, located in the Ayutthaya Industrial Estate in Samut Prakan Province, with production expected to begin in late 2028.
This investment expansion resulted from discussions between Deputy Prime Minister Ekniti and BOI Secretary-General Narutte Thadsalee with Nestlé's CEO responsible for Asia-Pacific, Oceania, and Africa operations during the World Economic Forum in Davos earlier this year. The new factory will employ state-of-the-art production technology, automation systems, and AI, creating approximately 520 positions for Thai workers, particularly in engineering, technology, and specialized skilled roles.
The facility will source substantial raw materials from within Thailand, including coffee beans, sugar, and raw milk, valued at over 4.3 billion baht annually, supporting sustainable income for Thai farmers and elevating Thailand's agricultural and food industry. The project will employ over 3,000 Thai personnel and strengthen connections with local communities and domestic supply chains. This investment demonstrates the confidence of a global-level company in Thailand's potential as a regional food and beverage production hub.
Nikil Chahn, Chairman and CEO of Nestlé Indochina, stated that Thailand has been an important market for Nestlé for over 130 years. The investment reflects Nestlé's confidence in Thailand and reaffirms the company's commitment to benefiting Thai society, the economy, communities, and the environment.
The investment project consists of an advanced coffee manufacturing facility and a distribution center supporting multiple Nestlé product categories. It will be equipped with the latest technology and AI to produce high-quality goods and improve operational efficiency for consumer and customer benefit. The new factory will produce Nescafé products using substantial locally-sourced raw materials and supplies, including coffee beans, sugar, and raw milk from Thai farmers, supporting the agricultural sector and economic development.
