The Board of Investment (BOI) has approved Nestlé's investment of 23 billion baht to build an advanced coffee factory and distribution center in Thailand, positioning it as a primary production base in ASEAN, while committing to purchase raw materials from Thai farmers worth over 4.3 billion baht annually.
Mr. Narit Therdsteerasak, Secretary-General of the Board of Investment (BOI), revealed that the BOI Board has approved Nestlé (Thailand) Limited's investment application to build a new factory producing all types of coffee, including instant coffee, 3-in-1 coffee mixes, and canned coffee under the NESCAFÉ brand, with a total production capacity of 170,000 tons per year. This is to support market growth domestically and regionally. Additionally, a large distribution center will be constructed on the factory site, with a total investment of 23 billion baht located in the Arya Industrial Estate, Samut Prakan Province. Production is expected to begin at the end of 2028.
“This investment will see Nestlé's new factory use the most advanced production technology, including automation and artificial intelligence (AI). It will create 520 jobs for Thai personnel, especially in engineering, technology, and specialized skills. The factory will also use large quantities of raw materials sourced from within Thailand—coffee beans, sugar, and raw milk—totaling 4.3 billion baht annually, which will provide sustainable income for farmers and help elevate Thailand's agricultural and food industries.”
Nestlé is the world's largest food and beverage company, headquartered in Switzerland. In 2025, it reported total revenues of 3.7 trillion baht. For Thailand, it is one of the longest-standing markets where Nestlé operates and serves as a strategic base in the Indochina group. Its regional headquarters are located in Bangkok, with ongoing investments totaling 28 billion baht covering beverages and pet food businesses, employing 3,000 Thai workers. This investment reaffirms the global company's confidence in Thailand's potential as a major food and beverage production hub in the region.
Mr. Nikil Shanj, Chairman and CEO of Nestlé Indochina, stated that Thailand has been an important market for Nestlé for 130 years. This investment reflects their confidence in Thailand and reaffirms Nestlé’s commitment to benefiting Thai society, economy, communities, and the environment. The project includes a high-tech coffee factory and a distribution center supporting a variety of Nestlé products, equipped with the latest technology and AI to produce high-quality products and enhance operational efficiency for the benefit of consumers and customers. The new factory will produce NESCAFÉ products using a large amount of raw materials and supplies sourced domestically, including coffee beans, sugar, and raw milk from Thai farmers, supporting agriculture and local economic development.
Beyond production investment, Nestlé is committed to developing Thailand's coffee industry across the value chain by researching coffee varieties suited to the Thai climate, supporting high-quality coffee seedlings, and promoting sustainable production methods to improve quality and increase income for Thai farmers.
“Nestlé's decision to make a major investment by choosing Thailand as its coffee production base demonstrates confidence in Thailand's potential. It also supports Thailand’s strategy to become a leading global food and beverage production hub and will help elevate Thailand’s coffee industry comprehensively.”
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