Nestlé to Invest BRL 1bn to Strengthen Brazilian Coffee Sector

Nestlé plans to invest BRL 1 billion ($193.97 million) in Brazil by 2026 to enhance its B2B and B2C presence in the country. The funding will be used to install new tech, increase production line flexibility, and improve sustainability. Nestlé will focus on its Nescafé factory in Araras, São Paulo, and expand its Nestlé Professional machine park, aiming for a 50% increase in capacity in the next two years. The funding will also be used to expand Nestlé’s production capacity and out-of-home sales of its Nescafé lines, targeting younger consumers. Nestlé expects to double its number of out-of-home coffee machines in four years to 44,000. Brazil holds a strong position for Nestlé due to growth opportunities in coffee consumption, with the Brazilian Coffee Industry Association stating that coffee consumption within the country is six times higher than the global average. Nestlé is enhancing messages focused on Gen-Z, a demographic with greater interest in discovering new flavors and ways to enjoy coffee. The company is working with the Nescafé brand to ensure a democratic premiumization of coffee consumption in Brazil.

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