Nestle to invest Rs 10 billion

GAYAN KANCHANA

Antonio Helio Waszyk

Nestle is to invest Rs 10 billion in Sri Lanka within the next five to six years, a senior official of the company said. Addressing media in Colombo yesterday, Nestle South Asia Market Head and Nestle Lanka PLC Chairman Antonio Helio Waszyk said, “Considering all favourable conditions Nestle sees a lot of opportunities in Sri Lanka and believes in its potential. Accordingly Nestle has stepped up its investment in the country. Within the next five to six years we are going to invest Rs 10 billion. Out of this we plan to invest more than Rs 2 billion in 2011.

“Even though we had negative growths in 2007 and 2008, last one and half years Nestle Lanka has recorded a double digit growth rate in terms of volume and profit. We are very happy about this turnaround within the last 18 month period and it is very important. In 2009 we had 10.4 percent of sales growth and 30 percent of profit growth, Waszyk said.

“Sri Lankan Government expects the country to be self-sufficient in fresh milk by 2016. Nestle Lanka was the prime mover for this target by opening a new chilling centre in Kilinochchi in the Northern Province. We want to continue with our strategy so Sri Lanka can become self-sufficient in milk. We are working towards achieving this”, he said.

In addition, Nestle Lanka helps dairy farmers develop pasture and feed, with farmer incentives and will distribute equipment and supporting material such as milk churns and hampers containing cattle feed, he said .

“Creating Shared Value (CSV) is the way we do business that focuses on specific areas of the company’s core business activities namely water, nutrition, and rural development where value can best be created both for society and shareholders.

This is a new introduction to Corporate Social Responsibility (CSR),” he said.