Nestlé China invests to enhance sustainable agriculture and production

15-09-2020

With a growing focus on sustainable agriculture in China, Nestlé has announced plans to invest a further RMB¥400 million (US$59 million) in the country.

Part of the investment will promote the development of local grain cultivation in Heilongjiang Province, with an initial focus on organic grains. This will be done through the new Nestlé Grain Competence Centre (GCC), Nestlé’s first such facility worldwide.

The company will also complete an expansion and upgrade of the Nestlé Dairy Farming Institute (DFI), strengthening its role in dairy farming training and as a sustainable source of high-quality local milk, especially for Nestlé’s A2 milk products.

The DFI will also play a growing role in Nestlé’s drive to reduce greenhouse gas emissions in its supply chain. A series of emissions reduction projects at the DFI’s own dairy farm will develop and showcase best practices, aiming to explore opportunities for carbon-neutral fresh milk.

The second part of the investment will focus on strengthening Nestlé’s production capacity in Shuangcheng, Heilongjiang Province, which is expected to be completed in two phases over the next five years. First, it will expand the production capacity for Gerber infant cereals by more than 50%. Second, two new product categories will be launched, including infant cereal-based snacks and adult functional foods.

Nestlé further affirmed its continued efforts on making its Shuangcheng facilities even more sustainable and efficient, introducing new energy-saving programmes and replacing some equipment with state-of-the-art technologies.