Nestlé Thailand Secures Approval for $688 Million AI-Driven Coffee Production Hub – CoffeeTalk

Thailand’s Board of Investment (BOI) approved on July 8 a substantial USD 688 million investment by Nestlé (Thai) Co., Ltd. to establish a state-of-the-art AI-driven regional coffee hub, marking one of the largest foreign investments in the country. This greenfield project will feature a smart factory and distribution center located in the Araya Industrial Estate, Samut Prakan province, and is intended to serve as a strategic production and logistics hub for Southeast Asia. The facility will utilize advanced automation and artificial intelligence to enhance operational efficiency while reducing environmental impacts, aligning with Thailand’s Bio-Circular-Green (BCG) economic agenda.

Narit Therdsteerasukdi, the Secretary General of the Thailand BOI, noted that this investment not only caters to rising domestic and regional market demands but also strengthens Thailand’s position as a key player in high-tech food and beverage manufacturing. Nestlé’s project is expected to bolster local agriculture by sourcing an estimated USD 130 million (4.3 billion baht) worth of local agricultural inputs annually, thereby supporting farmers and fostering domestic supply chains.

With operations set to begin in the fourth quarter of 2028, the facility is projected to have an impressive annual production capacity of 170,000 metric tons of NESCAFÉ soluble coffee and related beverages. The project will generate over 520 jobs for Thai engineers and technical specialists, further contributing to local employment.

The integration of Nestlé’s operations in Thailand, where it has operated for over 130 years, showcases the multinational’s commitment to contributing positively to the local economy and communities. In addition to production, Nestlé plans to invest in agricultural development, focusing on climate-resilient coffee varieties, quality sapling distribution, and sustainable farming practices. This initiative aims to enhance the entire coffee value chain—spanning farming, processing, logistics, and export—solidifying Thailand’s capacity as a global food and beverage production hub.

Read More @ VIR