NESTLÉ South Africa has announced its R79 million investment in localising the production of Nescafé coffee mixes, marking a significant milestone in the company’s commitment to meeting local market needs and supporting economic development.
The Swiss multinational food and drink processing conglomerate inaugurated the coffee mixes manufacturing plant in Babelegi, Hammanskraal, yesterday, showcasing dedication to employment creation, community upliftment and economic development.
The coffee mixes that will be produced at the plant are the Nescafé Gold range, which includes Cappuccino Original, Cappuccino Original Reduced Sugar, Cappuccino Salted Caramel Latte, Cappuccino Vanilla Latte, Cappuccino Hazelnut Latte, and Cappuccino White Chocolate, and Nescafé Ricoffy 3-in-1.
Nestlé East and Southern Africa Region business executive officer for coffee and beverages, Carl Khoury, said they were excited at opening the plant and demonstrating their dedication to the local market.
“The importance of revitalising South Africa’s manufacturing sector, including its contribution to the economy and export promotion, is emphasised in key national policies such as the (Economic) Reconstruction and Recovery Plan,” Khoury said.
“We take pride in our investment in this production plant as it reflects our dedication to nurturing the potential of the region and contribution to rebuilding the economy.”
Through the new manufacturing plant, Nestlé has empowered individuals with valuable skills and created a sustainable source of income by creating 27 new employment opportunities in engineering and production.
This opportunity has helped 19 men and 8 women, 67% of whom are from the Hammankraal area, gain employment. Of the 27 employees, 24 are employed in production and three in engineering. The initiative was led by an allwoman start-up team, aligning with Nestlé’s objectives of promoting job creation, fostering diversity.
Speaking at the inauguration, the Department of Trade, Industry and Competition’s director for investment promotion in agri-processing, Brian Soldaat, said Nestlé’s investment supported the growth of the local economy by localising production.
“This sets a positive example for the industry, showcasing the importance of collaboration with local communities, economic development, and sustainable business practices,” Soldaat said.
Nestlé’s investment in localising production exemplifies its commitment to building strong partnerships with local communities, fostering economic development, and embracing technological advancement.
By producing locally, Nestlé aims to streamline supply chain operations, reduce environmental impact, and ensure fresher products for consumers.
Speaking on the impact on the community, the MMC of Economic Development for the City of Tshwane, Hannes Coetzee said this plant, made possible through the project capital investment towards local production, not only guaranteed the production of exceptional coffee mixes but also uplifted the community.
“The investment was spent on procuring machines and equipment, training our local workforce, conducting production trials, and benefiting the City of Tshwane through local procurement of services providers, which played a crucial role in the successful completion of the project,” Coetzee said.
“With 46% locally sourced ingredients, Nestlé supports the growth and development of the local economy while ensuring the coffee mixes meet the highest standards. “This commitment to community upliftment strengthens our community, both economically and through the provision of exceptional products.”
BUSINESS REPORT