Nestlé China upgrading Dairy Farming Institute

By Jim Cornall contact

- Last updated on GMT

Nestlé said its expansion will help develop a sustainable source of local milk, especially for its A2 milk products. Pic: Getty Images/Butsaya
Nestlé said its expansion will help develop a sustainable source of local milk, especially for its A2 milk products. Pic: Getty Images/Butsaya

Related tags: Nestlé, China, Dairy, A2 milk, Milk

With a growing focus on sustainable agriculture in China, Nestlé has announced plans to invest a further RMB 400m ($58m) in the country.

Nestlé will complete an expansion and upgrade of the Nestlé Dairy Farming Institute (DFI), which it said will strengthen its role in dairy farming training and develop a sustainable source of local milk, especially for its A2 milk products.

The DFI will also play a growing role in Nestlé's drive to reduce greenhouse gas emissions in its supply chain. A series of emissions reduction projects at the DFI's own dairy farm will develop and showcase best practices, aiming to explore opportunities for 'carbon-neutral' fresh milk.

Part of the investment will promote the development of local grain cultivation in Heilongjiang Province, with an initial focus on organic grains. This will be done through the new Nestlé Grain Competence Center (GCC), Nestlé's first such facility worldwide.

The second part of the investment will focus on strengthening Nestlé's production capacity in Shuangcheng, Heilongjiang Province, which will be completed in two phases over the next five years. First, it will expand the production capacity for Gerber infant cereals by more than 50%. Second, two new product categories will be launched, including infant cereal-based snacks and adult functional foods.

Nestlé said it will continue to focus on making its Shuangcheng facilities even more sustainable and efficient, introducing new energy-saving programs and replacing some equipment with new technologies.

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