Nestlé South Africa injects more than half a billion Rand into local economy

To Press Releases listBabelegi,Feb 2, 2011

2 February 2011, Babelegi, Gauteng: Nestlé South Africa today announced that it will invest R505 million into the construction of two new factories in Babelegi for the production of its cereals and noodles. The company also announced its recent acquisition of a soya processing company in Potchefstroom. These investments will create 350 jobs in Babelegi and Potchefstroom.

“Nestlé is proud to make this announcement today as it demonstrates ongoing commitment to foreign direct investment. We will continue to invest in South Africa, in line with our long-term commitment to business sustainability and economic development,” said Sullivan O’Carroll, Chairperson and Managing Director of Nestlé South Africa.

Nestlé South Africa is investing R244 million into the construction of a 16 000 square metre factory which will manufacture its MILO and CHEERIO cereals with the expected completion date in 2012. Skills development and training abroad will be provided to some of the 70 new employees by Nestlé’s global specialists in the areas of engineering and technology.

A further R155 million will be invested into the expansion of Nestlé’s existing Babelegi factory to build production facilities for the manufacturing of its MAGGI NOODLES. This expansion will create 160 additional jobs in the factory.

The company also announced its recent acquisition of Potchefstroom based Specialised Protein Products, worth R106 million including the absorption of 120 employees. This will increase the production capacity of Nestlé’s non-dairy creamers and offers an opportunity to develop Soya based products that could address the malnutrition challenge in Southern Africa.

“These investments are aligned to Nestlé’s ambition of being the world’s leading Nutrition, Health and Wellness Company while offering consumers quality, nutritious and affordable products. Local business will also benefit from this as most raw materials required for the manufacturing of our products will be sourced locally, thus creating a market for local business and emerging farmers,” concluded O’Carroll.


For more information contact:

Ravi Pillay
Spokesperson: Nestlé South Africa
+27 11 514 6799 or +27 82 908 2580 or