Nestle invests Rs. 600 million to expand production

NESTLE LANKA Plc is investing a further Rs. 600 million in its Kurunegala factory to expand capacity in key product areas.

First Lady Shiranthi Rajapaksa, commissioned the Band Dryer, part of the company's 2007 expansion programme.

In the initial phase of the expansion programme, a Rs 200 million-Band Dryer was commissioned. Used in the manufacture of Nestomalt, this is the third such Band Dryer installation at the factory and it is expected to increase production capacity by about 50%. Managing Director, Stuart Young said.

"With a strong sense of responsibility, Nestle, remains committed to Sri Lanka. Monetarily, socially and through livelihood and employment creation, we continue to invest in our industry as well as the local economy and the people." Young explained: "our company's brand Nestomalt is a local product; created and manufactured solely in Sri Lanka.

Although it is predominantly for domestic consumption we plan to keenly seek export opportunities as a result of the capacity expansion," Young said.

The Nestle Lanka Kurunegala factory represents an investment of over Rs 3 billion. Built in 1983, this multi-product manufacturing facility is also equipped with a certified quality assurance laboratory, a wastewater treatment plant, energy saving technology, a distribution centre and recreation facilities for the staff.

The First Lady expr- essed appreciation of Nestle,'s dedication to the country's economic development and in particular its efforts to uplift rural communities through the local sourcing of raw materials, especially fresh milk and coconuts.

She also met the staff, and urged them to continue their efforts to make with pride Sri Lankan products both for the domestic market and the world.

Livestock Development Minister C. B. Rathnayake and Media and Information Minister Anura Priyadarshana Yapa also participated.