Nestlé opens 8^th plant in Malaysia; PET-bottle packaged Milo to be key product

Nestlé, the world’s largest food and beverage manufacturer headquartered in Switzerland, has opened its latest facility in Sri Muda, its eighth factory in Malaysia.

The launch of the Sri Muda Factory was officiated by Duli Yang Maha Mulia Sultan Selangor, Sultan Sharafuddin Idris Shah Alhaj ibni Almarhum Sultan Salahuddin Abdul Aziz Shah Alhaj. Also in attendance was Chief Minister of Selangor, Tuan Mohamed Azmin Ali.

Alois Hofbauer, Managing Director of Nestlé Malaysia said, “Nestlé products such as Maggi, Nescafe and Milo are brands that all Malaysians love and have grown up with. Malaysians drink 6 million cups of Milo a day! Our Sri Muda Factory, which produces liquid drink products including Milo, Nescafe and Nestle Omega Plus will capitalise on growth opportunities in the fast-growing area of liquid drinks for the domestic and export markets.”

The Sri Muda Factory will boost the group’s ready-to-drink capacity by 60%. The new factory has a build-up of over 40,000 sq m, and resides within the Nestlé Shah Alam Factory Complex. The latter is one of the largest factory sites in the country and in the Nestlé world, employing over 2,000 Nestlé factory staff.

Over the last seven years, Nestlé Malaysia has invested over RM1.5 billion in capex towards enhancing its manufacturing and distribution capabilities. In the past two years, the group has invested RM600 million in capex, which has gone into expanding and scaling up its manufacturing infrastructure. Out of this amount, RM288 million was invested into the Sri Muda Factory.

A key product of the new Sri Muda Factory is Milo Nutri G, which was launched earlier this year. It is also the world’s first Milo product in a convenient PET bottle, providing ‘breakfast-on-the-go’ with healthy whole grains, and was an innovation to meet evolving consumer needs.

The PET manufacturing line for MILO Nutri G incorporates end-to-end automation for improved productivity. The technology for sterilisation also ensures that the highest standard of quality and hygiene is maintained, said Nestlé. Furthermore, operating in a Muslim country, the manufacturing facilities are 100% halal, and the group says it produces and exports halal products to more than 50 countries across the globe.

In addition to the Sri Muda Factory tour, guests were also able to visit Maggi’s newest high capacity noodle line in the neighbouring Batu Tiga Factory, which produces a product close to the heart of many Malaysians – Maggi noodles.

“Maggi Noodles are very popular here in Malaysia, with over 600 million packs sold a year, which is equivalent to 1 pack for every person in Southeast Asia. This new noodles line will cater to the growing demand for Maggi Kari Noodles, a favourite among our Malaysian consumers,” said Hofbauer.

Nestlé Malaysia has invested RM90 million into this new noodle manufacturing line, which incorporates advanced technology for end-to-end automation. This has doubled productivity, and reduced water consumption. The factory is the biggest noodle factory in Malaysia and Singapore.

Commenting on the Group’s achievements, Hofbauer said, “Malaysia is one of the top five key Nestlé markets in Asia, and ranks among the top 20 markets in the Nestlé world. Our success today has only been made possible by the favourable business environment in Malaysia, loyal consumer base, great talent, and strong support from the Government.”

“We are deeply committed towards investing in our future in Malaysia because we strongly believe that this country has a wealth of opportunities to offer. With the launch of the Sri Muda and the new Batu Tiga facilities, we will continue to deliver on our promise of ‘Good Food, Good Life’, producing high quality, superior tasting, and highly nutritious products for all Malaysians,” concluded Hofbauer.

Nestlé (Malaysia) Berhad has eight manufacturing facilities, which are based in Petaling Jaya and Shah Alam in Selangor, Chembong in Negeri Sembilan, as well as in Kuching, Sarawak. The company has been operating in Malaysia since 1912.