Nestlé has begun construction of a 23-billion-baht (US$685 million) coffee manufacturing facility in Samut Prakan, with the factory expected to begin operations in late 2028 and create more than 500 jobs.
The groundbreaking ceremony for the “House of NESCAFÉ Thailand” was held at the Araya Industrial Estate, marking the start of one of the company’s major investments in Thailand.
The facility will produce soluble coffee, coffee mixes and ready-to-drink coffee beverages, using advanced production technologies, artificial intelligence (AI), robotics and automated systems.
Nestlé said the factory would also include a distribution centre for its products across multiple categories and a Coffee Innovation Center to develop ingredients, recipes and new products.
Remy Ejel, executive vice president and chief executive officer of Nestlé’s Zone Asia, Oceania and Africa, said Thailand was one of the company’s largest and most dynamic coffee markets, with NESCAFÉ holding the leading position in the country.
The investment would help meet growing consumer demand, expand production capacity in Southeast Asia and support the long-term growth of its coffee business, he said.
The company expects to source approximately 4.3 billion baht (US$128 million) worth of ingredients and raw materials annually from Thai farmers and suppliers, including coffee beans, sugar and fresh milk.
Nestlé has purchased Thai Robusta coffee beans for more than 40 years, supporting farmers through knowledge-sharing, the distribution of high-quality coffee seedlings and the expansion of cultivation into several regions.
Nikhil Chand, chairman and chief executive officer of Nestlé Indochina, said the project would create long-term value for Thailand’s economy and society through employment and support for local agricultural producers and suppliers.
The factory will incorporate automated storage and retrieval systems capable of accommodating more than 100,000 pallets. AI-driven technology and automation will connect production, storage, order picking and dispatch operations.
Nestlé also aims to reduce carbon emissions through the use of 100% renewable energy, biomass fuel and heat recovery technology. The site is designed to achieve zero waste to landfill and will include a water recycling system.
Varawut Silpa-archa, industry minister and vice chairman of the Thailand Board of Investment, attended the ceremony alongside Fabrice Filliez, Switzerland’s ambassador to Thailand, and other government and business representatives.
Varawut said the investment demonstrated the potential for cooperation between international companies and the Thai government in bringing advanced technology into the country and developing local workers.
Construction is now under way, with operations expected to begin in the latter part of 2028.