NESTLÉ Philippines has launched a P2-billion plant that produces malt extract for its popular Milo drink in Lipa, Batangas.
In a statement, Nestlé Philippines said the 5,400-square meter malt production facility is only the fourth such Nestlé plant in the world, after ones in Singapore, Nigeria and Australia.
“The launching of our malt production plant is a happy start to our 107th year in the Philippines. This latest investment is aligned with our long-term commitment to contribute to the growth of the economy and participate in the development of the country, living the Nestlé purpose of enhancing quality of life and contributing to a healthier future,” Nestlé Philippines Chairman and CEO Jacques Reber was quoted as saying in the statement.
The Nestlé facility uses barley and cassava as raw materials in producing the malt extract, a key ingredient for Milo products. It currently imports cassava from Thailand.
However, Nestlé said it is looking at sourcing cassava from local farmers. The company is now qualifying local cassava farmers, and hopes more farmers will be able to supply Nestlé’s long-term requirements.
“The malt plant’s capacity is expected to increase considerably in three to four years, with potential for exporting some of its output to other Nestlé companies abroad. The plant will enable Nestlé Philippines to develop new types of malt extract to address the evolving needs of Filipino consumers,” the company said.
The malt facility is the third plant at the 29-hectare Lipa factory complex. The two other plants manufacture Milo and breakfast cereal products.
