Nestlé Lanka starts work on new facility

By Jim Cornall

- Last updated on GMT

Nestlé Lanka has started work on a new plant for dairy and coconut products in Sri Lanka.
Nestlé Lanka has started work on a new plant for dairy and coconut products in Sri Lanka.

Related tags Sri lanka Milk

Nestlé has laid the foundation stone of a new manufacturing facility at its factory in Pannala, Kurunegala, Sri Lanka.  

The new facility will be used to expand production capacity for Nestlé Lanka’s dairy and coconut-based products.  

To recognize the efforts made by Nestlé’s farmers, a farmer felicitation was held in parallel to the foundation laying ceremony with more than 200 Nestlé farmers in attendance.

K. Mathanakumari, a Nestlé dairy farmer in Mullaitivu, said, “I started my milk business with only five liters of milk back in 2010. Thanks to Nestlé’s continuous support in offering farmer trainings to help increase my yield, I have grown my business to 100 liters of milk per day.”  

Construction has started on a new plant in Pannala. Pic: ©iStock/pavalena/ihba

Manufacturing products locally

Nestlé has been operating in Sri Lanka for more than 110 years and manufactures products locally, largely using Sri Lankan ingredients. It locally produces more than 90% of the Nestlé products sold in the country today and exports to more than 50 countries, driving both import substitution and expansion of exports.

As Sri Lanka’s largest private sector collector of fresh milk, and one of the world’s largest exporters of coconut milk powder, Nestlé supports the livelihood of close to 27,000 farmers and their families.

Its payment to farmers for procuring these raw materials came to Rs. 6bn ($40m) in 2016. 

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