Nestle launches 2nd R&D center in China

Nov. 3, 2008 (China Knowledge) - Nestle, the world's largest food manufacturer, launched a research and development (R&D) center in Beijing on Oct. 31, sources reported.

Located at Zhongguancun Environmental Protection Park, Nestle's Beijing R&D center is its second such facility in China and 24th one worldwide. With an investment of about RMB 70 million, the new R&D center brings Nestle's total R&D investment in China to RMB 110 million.

The new facility will mainly focus on food safety and quality, and also work on nutrition and life sciences research, food technology, processing and packaging as well as research cooperation with Chinese universities and research organizations, the company said.

The new R&D center will be the European food giant's largest technical center in Asia and the first overseas basic R&D Center.

Besides the dairy products, Nestle also sells other products in China, such as coffee, chocolate and water, and its products made in China were pulled from the shelves in Asia after melamine were found amid a powder milk scandal in China.

However, Nestle's sales revenue and production for 2008 will not be affected by the recent tainted milk scandal, said Patrice Bula, Chairman and CEO with Nestle (China), adding that the company is expected to see double-digit growth in its China sales this year and plans to expand the production of its Inner Mongolia and Qingdao plants next year and launch new products in China, China Knowledge reported earlier.