Nestlé has inaugurated a new EGP 250m ($14m USD) coffee factory for its Bonjorno brand in Egypt: envisioning the facility as an export hub for coffee in the region.
Nestlé acquired Caravan Marketing Company SAE (‘CMC’), the Egyptian instant coffee company which owns the Bonjorno brand, in 2017.
The new 12,740 sqm coffee facility is located in the 6th of October industrial zone of Cairo, with an investment of EGP 250m ($14m USD).
The factory has eight production lines with a capacity of 14,000 tons, and will have the ability to reach 22,000–44,000 tons in the future. The workforce consists of 240 direct employees and also provides around 7,000 new jobs indirectly.
Rapidly growing soluble coffee segment
The inauguration was attended by Dr. Aly El Meselhy, the Minister of Supply & Internal trade, as well as a Nestlé delegation that included Executive Vice President and Head of Operations for Nestlé SA, Mr. Magdi Batato, and Chairman and CEO of Nestlé North East Africa , Mr. Moataz El Hout.
Magdi Batato, executive vice president and head of operations Nestle SA, said: “This factory opening reflects Nestlé’s ambition to invest in Egypt and foster the development of the rapidly growing soluble coffee segment, which has been gaining popularity among Egyptians. We aim to have the Bonjorno factory as an export hub for coffee in the region.”
Nestle started its activities in Egypt at the end of the nineteenth century and now has three factories and around 3,500 direct employees. It has invested nearly 1bn EGP ($55m USD) in manufacturing, distribution facilities and skill development.