• Condensed by Lynda Kiernan

Nestlé Invests US$72 Million to Support European Pet Food Expansion

Nestlé announced it is investing US$72 million in its pet food plant in Bük - making this its largest food processing investment in Hungary to date. The investment is not only Nestlé's largest food processing investment in Hungary to date, it will transform the facility into the group’s most important pet food production site in all of Europe.

The project, which Nestlé decided to pursue in order to better meet shifting market demands, and which is scheduled to be completed by 2017, will including two new production lines, an automated and a multipack packaging unit, and a new 5,000 square meter production hall. The last of which will have the capacity to produce 1.6 million cans of petfood per day.

Approximately 90% of the petfood produced at the site is exported to outside markets, and upon completion of the expansion, the UK will outrank Germany as the top destination market for Nestlé, taking 35% of all shipments, while Germany, Austria and Switzerland will take 40% of shipments from Bük, and Italy will take 10%.

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Lynda Kiernan is Editor with HighQuest Group Media and of the Oilseed & Grain News. If you would like to submit a contribution for consideration, please contact Ms. Kiernan at lkiernan@highquestgroup.com.

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