SEREMBAN: Nestle Malaysia has invested RM90mil to expand its Milo production plant at the Chembong Industrial Park near Rembau, making the facility its biggest worldwide, with a capacity of some 108,000 tonnes a year.
The investment, which includes new automated packing lines and dryers, has also transformed the Chembong plant into its global centre for excellence with state-of-the-art production lines.
Nestle Malaysia chief executive officer Juan Aranols said the plant has been upgraded to optimise capacity and efficiency to raise productivity.
“As a result, the upgraded factory will see a 30% increase in production capacity.
“Through this expansion, we will be able to optimise our operations and productivity improvements through automation and digitalisation as well as leverage on economies of scale to gain international competitiveness, ” he said in his speech at the re-opening of the upgraded plant by Undang Rembau Datuk Muhamad Sharip Othman.
He said apart from the domestic market, the Milo produced here is exported to 20 countries including China, Singapore, Indonesia, Thailand, Kenya and Jamaica.
The Milo variants produced at the plant which began operations in 1993 are from the 200g to 3.2kg packs, Milo 3-in-1 and Milo Kosong.
He said apart from its Malaysian plant, Nestle produces Milo in several other countries including Australia, the Philippines and Nigeria.
Aranols said the additional investment was also a testament of its confidence in the future of Milo and Nestle in Malaysia.
“Malaysians drink nine million cups of Milo a day and every cup is now produced in this Chembong factory, ” he said
The Chembong complex employs the largest factory workforce among Nestle’s six factories in Malaysia with 900 employees.
“We should take pride in the fact that Milo, which is truly Made-in-Malaysia, is also exported to 20 markets globally.
“Made-in-Malaysia Milo also means that halal compliance is of our utmost priority which adds to Malaysia’s credential as a leading halal manufacturing hub in the region and the world, ” he said.
Asked if the Chembong plant which is located on a 43-acre site had room for expansion, Aranols said yes.
“We produce many products here from cereals to ice cream and we can expand even further if there is a need, ” he said.
Negri Sembilan Mentri Besar Datuk Seri Aminuddin Harun who was also present thanked Nestle for its additional investment in the plant.
‘We thank you for your continued confidence in Negri Sembilan and for helping spur the local economy.
“I would also like to take this opportunity to welcome you to invest in the Malaysian Vision Valley 2.0 development which is a new growth area in the state to be developed in stages till 2045, ” he added.
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