Nestlé will invest €150m (US$196.9m) to streamline its manufacturing operations and promote its business in Spain by 2007, according to Spanish-unit president Jose Arcas.

The Swiss food major will spend €33m to improve and ramp up production at its Girona, Viladecans and Reus factories in the Catalonia (Barcelona) region. It will also spend money to overhaul its Gijon, Alava, Caceres, Pontevedra and Guadalajara industrial facilities.

Arcas said Nestlé does not plan to make acquisitions for the moment but it will invest heavily to advertise its franchise and foster its ‘Innova’
product-development programme.