Nestle intends to open fast food production research center in Kharkiv

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Dec. 12, 2011, 4:35 p.m. | Business — by Interfax-Ukraine
KHARKIV – Nestle Company is planning to open a first research center in Ukraine focused on fast food production on the basis of the Mivina factory in Kharkiv, Nestle Corporate Director for Ukraine and Moldova, Hennadiy Radchenko told the press in Kharkiv last week. "The research center will design new products and test raw materials. First of all, research of fast food production, which would work for the whole European market, maybe even for the whole world," he said.

He said that the center will generalize results of consumer taste and market studies, which will be conducted all over the world, and the center will design food that is needed for the market.

It is expected that the center in Kharkiv could be opened in 2012-2013.

In addition, next year the company is planning to draw up blueprints on the reorganization of a warehouse on the territory of the Mivina factory into a distribution center of Nestle products. The reorganization will start in 2012.

"This will be a first Nestle distribution center in Eastern Ukraine. It will distribute all Nestle products all over Eastern Ukraine," Radchenko said.

He said that next year the company intends to invest around Hr 36 million in the Mivina factory and works on the creation of the distribution workshop.

Investment in the factory this year came to Hr 30 million.

Nestle has been operating in Ukraine since 1994. Nestle in Ukraine consists of Lviv-based CJSC Svitoch confectionery factory, Nestle Ukraine Ltd., OJSC Volynholding (the Torchyn brand), and Technocom Ltd. (the Mivina trademark).

Nestle promotes international brands as Nescafe, Nesquik, Maggi, Nuts, Friskies, KitKat, Nuts, etc. Its annual sales in the world reached CHF 109.7 billion in 2010.

Nestle's business in Ukraine encompasses coffee and beverages, confectionery goods, cookery (sauces, herbs, spices, and soups), food for children and special nutrition, quick-prep breakfasts, pet food, and ice cream.

Nestle sales in Ukraine in 2010 came to Hr 4.016 billion, a 30.5% rise year-over-year. In 2010, Nestle companies in Ukraine paid Hr 325 million in various taxes and duties to the Ukrainian budget.

Since 2004, Nestle S.A. has invested Hr 2.5 billion to the Ukrainian economy.
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