The Chembong Factory in Negeri Sembilan started operations in 1993. It already employs the largest factory workforce among Nestle’s six Malaysian manufacturing sites.
The factory produces Milo powder, Milo 3 in 1, and Milo Kosong.
“This expansion upgrades the manufacturing facility with state-of-the-art production lines to optimise capacity and efficiency to deliver higher productivity and competitiveness,” says Nestlé.
“The 30% capacity increase will cater to growing domestic demand and for export to over 20 countries.”
Nestlé has invested RM 90 million ($21.5m USD) in upgrading the manufacturing site and global Centre of Excellence.
“Malaysia is a key market for Nestlé globally and a key manufacturing hub in our Asian region,” said Chris Johnson, executive vice president and chief executive officer of zone Asia, Oceania and sub-Saharan Africa, Nestlé.
“This expansion is testament to our drive to ensure strong, profitable and sustainable growth, in tandem with our commitment to continue investing in Malaysia as a key manufacturing hub for the Nestlé Group.”
Nestlé is consolidating its Milo manufacturing operations by moving production from its Petaling Jaya factory across to Chembong. Dairy company Lactalis is acquiring and taking over the operations of the Petaling Jaya factory as well as Nestlé’s chilled dairy business.