Thailand has approved a 23 billion baht (US$688 million) investment by Nestlé Thai to build a smart factory and distribution centre in Samut Prakan province, strengthening the country's goal of becoming a regional food and beverage manufacturing hub. The project was approved by the Board of Investment (BOI) on Wednesday (08/07).

The greenfield facility will be built in central Samut Prakan province and is scheduled to begin operations in the fourth quarter of 2028.

New Facility to Produce Nescafé Products

The plant will have an annual production capacity of 170,000 metric tons of Nescafé soluble coffee, coffee mixes, and ready-to-drink beverages, according to a BOI statement released on Thursday.

The investment supports Thailand's efforts to attract technology-driven manufacturing and expand its high-value food industry as global companies diversify supply chains in Southeast Asia.

Smart Manufacturing to Improve Efficiency

Nestlé said the factory will use artificial intelligence, robotic automation, and advanced manufacturing systems to improve efficiency while reducing its environmental footprint.

The company expects the project to create more than 520 jobs for Thai engineers and technical specialists.

"This investment strengthens the entire coffee value chain, from farming and processing to logistics and export," BOI Secretary General Narit Therdsteerasukdi said.

Nestlé to Increase Local Sourcing and Farmer Support

Nestlé plans to source about 4.3 billion baht worth of local agricultural inputs and raw materials each year, including coffee beans, sugar, and fresh milk.

The company will also support upstream development through research on climate-resilient coffee varieties, distribution of high-quality saplings, and training for farmers in sustainable cultivation.

PHOTO: NESTLE THAILAND

This article was created with AI assistance.

We make every effort to ensure the accuracy of our content, some information may be incorrect or outdated. Please let us know of any corrections at [email protected].