Nestlé pours funds into growing Brazilian coffee market 

Nestlé wants to manufacture more Nescafé products in Brazil in the future. According to a report by the Reuters news agency, the company is investing one billion reais (CHF176 million) in production capacity there by 2026. Nestlé expects sales of the Nescafé brand in the Brazilian retail trade to grow by up to 15% per year over the next four years, said Valeria Pardal, head of Nestlé's coffee division in Brazil, in an interview with Reuters. This means that Nescafé in Brazil will grow significantly faster than the overall market, for which growth of 5% to 6% is forecast. Part of the investment will be channelled into expanding out-of-home consumption, particularly through the business-to-business segment: Nestlé expects to double the number of its out-of-home coffee machines in Brazil to 44,000 within four years. Younger people under the age of 24 are the key segment of this market, says Pardal. This is because consumption growth among them is ten times higher than among older ...