Q24N (EFE) The Swiss multinational food company Nestlé announced this week that it will close its milk processing plant in Nicaragua and transfer it to other factories in Latin America, but will maintain its operations and commercial management in the Central American country.
“To continue offering our consumers accessible and highest quality products, we inform the company’s strategic decision at a regional level to gradually transfer the entire manufacturing operation of Prolacsa S.A., located in Matagalpa (northern Nicaragua) to other factories in Latin America,” the company said in a statement signed by the CEO and president of Nestlé Central America, Juan Gabriel Reyes.
“This decision is due exclusively to the current global dynamics for efficient and productive operations, and responds to the needs of our consumers,” he added, without further ado.
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Nestlé thanked the workers, community, suppliers, and authorities for these years of operation of the Compañía Centroamericana de Productos Lácteos (Prolacsa) factory, which operates in the department of Matagalpa.
On the other hand, Nestlé, with more than 60 years in Nicaragua, announced that it will maintain its operations and commercial management in Nicaragua, as well as the purchase of green coffee for the company’s operations in the world.
“Shared value creation programs will continue to contribute to the development and well-being of Nicaraguan coffee growers,” he stated.
Nestlé said that Nicaragua “continues to be very important for our regional operation, which is why we continue in the country through our commercial operation and distribution center.”
Also with the purchase of 13% of Nicaraguan coffee production, the commitment to the environment through the Forests of Tomorrow program with the planting of 8.6 million trees; as well as the impact on more than 5,000 people benefited by the company’s presence in Nicaragua, according to the firm.
“We will continue contributing to the nutrition, health and well-being of Nicaraguans.” indicated the largest global food multinational.
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In October 2019, Nestlé announced an investment of six million dollars to increase the production capacity of its Prolacsa plant, where coffee is also processed.
Nicaragua’s newspaper, La Prensa, reported the closure of the plant, which has operated in Matagalpa for 55 years, implies, for the livestock sector, the closure of a second large market in less than two months.
In addition, the decision of the Swiss multinational will also impact the income that the country receives from its exports.
The announcement of the closure of this company occurred just two months after another major blow to Nicaragua’s national production. In December, Cisa Exportadora, the largest coffee collector, processor, and exporter in Nicaragua, announced its closure. A month earlier, in November 2023, the Mexican Group Lala, which specialized in the innovation, production, marketing, and distribution of food and beverages, in a surprising move left Nicaragua.
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