Nestle Mexico Makes Strategic $53 Million Investment to Ensure Milk Supply

Nestle Mexico Makes Strategic $53 Million Investment to Ensure Milk Supply

Nestle Mexico has been buying milk directly from Mexican farmers since 1935 to produce powdered milk, sweetened condensed milk, evaporated milk, and dairy cream, and has grown to become the country third biggest milk buyer.  However, the company has stated that the country is experiencing a lack of supply and has announced an investment of $53 million over the next six years to increase milk production in the country through increasing the efficiency of production models used by the country’s farmers.  A quarter of a million Mexican farmers lack the knowledge on sustainable production that would give them the quality and cost competitiveness to sell on the formal market.  To combat this, Nestle Mexico has allocated $30 million to finance improvements to production and infrastructure within the industry and $23 million to provide technical assistance within the country’s whey and milk supply chain.

 

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