• Nestle to build Dubai manufacturing facility
  • Factory to produce culinary products

Nestle is to invest AED500m (US$136m) in the construction of a manufacturing facility in Dubai.

The 175,000 sq ft facility, which will produce nutrition, culinary and coffee products, will be located in the Dubai World Central.

Nestle said the facility will offer the company a "clear advantage" that it already experiences with other manufacturing facilities in the Middle East. The factory will strengthen its local manufacturing capabilities, opening "opportunities to gain synergies" in its warehousing and logistics to serve the whole Middle East region, it said.

A spokesperson for Nestle said further details regarding specific brands and products to be manufactured at the site will be defined at a later stage.

This will be the second manufacturing facility for Nestle in Dubai. The company opened a US$136m factory specialising in manufacturing Kit Kat chocolate in December 2010.

Show the press release

Nestlé to invest over AED 500 million to build manufacturing facility at Dubai World Central

Ahmed Bin Saeed: DWC is a catalyst for growth and a new gateway for long-term economic development in Dubai and across the region

June 26, 2012
H.H. Sheikh Ahmed Bin Saeed Al Maktoum, Chairman, Dubai Aviation City Corporation has today (June 26, 2012) received H.E. Walter Deplazes, Swiss Consul General and Mr. Yves Manghardt, Chairman & CEO Nestlé Middle East. The visit comes after Nestlé's CEO signed a partnership agreement with Dubai World Central (DWC) for a 175,000 square meter-plot. An initial investment of over AED 500 million has been earmarked by Nestlé for the manufacturing facility for nutrition, culinary and coffee products.

H.H. Sheikh Ahmed said, "DWC offers strategic advantages that make it an ideal and attractive destination for leading multinationals. It is an important component in Dubai's vision to provide a comprehensive platform that caters to the needs of aviation, air transport, commercial and logistics businesses. This partnership with Nestlé reaffirms DWC's role as a catalyst for growth and a new gateway for long-term economic and social development in Dubai and across the region."

Yves Manghardt, Chairman & CEO Nestlé Middle East, said: "Nestlé is committed to strengthening our presence in the Middle East markets. We will continue to invest in projects that enable us to better serve consumers in the region, while leveraging the strategic advantages of DWC and the UAE in general as a distribution and manufacturing base."

Hans Juergen Jung, Technical Director, Nestlé, said: "Producing locally allows us to bring products faster and therefore fresher to consumers. This is a clear advantage we already experience with our many manufacturing plants in the Middle East. The construction of a new facility at Dubai World Central strengthens our local manufacturing capabilities, giving us more flexibility in adopting our products to local consumer preferences and using local and regional raw materials. This second production facility in Dubai will also open opportunities to gain synergies in our warehousing and logistics to serve the whole Middle East Region."

Nestlé further revealed that the new facilities are expected to generate up to 800 additional jobs thus complementing DWC's commitment to reflecting the government strategy of Dubai and UAE in terms of economic and social development.

Khalifa Al Zaffin, Executive Chairman, Dubai Aviation City Corporation, said: "Being the Middle East's first aerotropolis, Dubai World Central stands out as an important gateway to key markets in the Middle East and beyond. The partnership with Nestlé further strengthens the reputation of DWC as a destination of choice among investors and businesses seeking to capitalize on its purpose-built aviation and logistics infrastructure. DWC will continue to explore more innovative ways to cultivate an environment that supports the growth plans of leading multinationals such as Nestlé."

Rashed Bu Qara'a, Chief Operating Officer, Dubai Aviation City Corporation, said: "We are confident that Nestlé will benefit from the multimodal transport and superior logistics infrastructure that Dubai World Central offers. The integrated logistics facilities and other complementary amenities have been designed to further enhance the efficiency and productivity of companies that deal with fast-moving consumer goods. We are confident that this partnership will open more exciting opportunities for growth and success for the Nestlé brand in the local and regional markets."

DWC has already attracted a number of global companies including Aramex, Ehrhardt + Partner Solutions, Kuehne + Nagel, Schaefer Systems International, Majestic Wings Private Airplane Charter LLC, Panalpina, Hellmann Caliper, INL and RSA Logistics.


Original source: Nestle