Cereal Partners Worldwide invests CHF 35M in Malaysian factory

Cereal Partners Worldwide (CPW), a joint venture between Nestlé and General Mills, will invest CHF 35 million ($40.1235 million) over two years in the construction of a new breakfast cereals factory in Malaysia.

The factory - due to begin production in 2012 - will make Nestlé breakfast cereal brands Koko Krunch, Honey Stars, Cookie Crisp, Koko Krunch Duo and Milo, for consumers in Malaysia, and for export to Singapore, Indonesia and Thailand.

Located in Chembong, Negeri Sembilan, the 6,500 sqm factory will enable the local production of the breakfast cereals for the first time in Malaysia, which are currently being imported.

The new factory, which will source up to 80% of its raw materials from local suppliers, will be built based on policies for environmental sustainability adopted by both partners in the CPW venture, and in full compliance with environmental legislation.