Nestlé will invest US$140 million to expand Chile plant

The project will double current production capacity at the Purina brand facility in located in Teno, in Chile’s Maule Region.

The rising global pet population is expected to generate a 25% increase in demand for pet food over the next five years, and up to 27% in Latin America. In view of this trend, Nestlé Chile has decided to invest US$140 million to expand its Purina brand plant located in Teno, in Chile’s Maule Region.

The facility is the most modern pet food production plant in Latin America, and its expansion will enable super-premium products which must currently be imported to be produced in Chile. The project also includes the expansion of its distribution center, and the creation of 100 direct jobs and more than 1,500 contractors in different areas.

Long term investment

“Our commitment to and relationship with Chile is long term, and as such we are making the necessary investments to continue growing in the country and exporting to other markets in the region, together with all players in our value chain", said Leo Leiman, Executive President of Nestlé Chile.

The project—which represents the second phase of the original plant that was opened in 2018—aims to double current production capacity through the construction of a new production line and the expansion of its distribution center, providing an additional 15,000 m² of floorspace, and increasing storage capacity from 11,500 to over 21,000 items.

“The expansion of our plant is in line with the need to continue producing highly nutritious food products for pets, which are playing an increasingly important role in Chilean families. Given the high demand for super-premium pet food, we will now be able to produce these products in Chile with local ingredients and employees, which will enable us to have a positive impact on the country’s economy”, said Eric Zeller, Nestlé Purina Business Director.

To learn more about investment opportunities in the Chilean food industry, please see the following article.