HUNGARY- Nestlé, a global leader in the food industry, has unveiled a significant expansion in its pet food production sector with the inauguration of two new production units at its Purina pet food factory in Hungary

The expansion, a substantial investment of nearly US$245.5M, marks a remarkable 66% increase in production capacity at the Bük facility.

The newly expanded factory is anticipated to bolster Nestlé’s annual production capacity from approximately 150,000 tonnes to an impressive 250,000 tonnes, demonstrating Nestlé’s commitment to meeting the growing demand for pet food across Europe and beyond.

The investment in this project reflects Nestlé’s long-term dedication to enhancing its pet food production capabilities in Hungary. Over the last 25 years, Nestlé has invested a total of US$726M into the Purina pet food factory, solidifying its position as a leader in pet food manufacturing.

One of the most significant impacts of this expansion is the creation of 280 new jobs, further contributing to the economic growth and employment opportunities in the region. 

Additionally, the investment will introduce 100 new robots to the factory’s machinery, enhancing efficiency and productivity.

The Bük facility in north-western Hungary, often referred to as the “stronghold” of Nestlé’s European pet food production, currently exports 95% of its output to 50 countries worldwide. This expansion will further bolster Hungary’s standing as a key hub for Nestlé’s pet food production.

Péter Noszek, the CEO of Nestlé’s business in Hungary, expressed enthusiasm about the transformative impact of the expansion. 

As one of the largest employers in the region, the Nestlé Purina factory in Bük will create more than 500 new jobs in the city between 2020 and 2025, thanks to its vigorous development and continuous investment,” Noszek stated.

This expansion comes on the heels of Nestlé’s strategic moves to strengthen its presence in various global markets. 

The company’s Purina Petcare business has emerged as a significant contributor to Nestlé’s organic sales growth, underscoring the importance of this expansion in Hungary.

As of 2023, Nestlé has outlined plans to invest in production across diverse product categories in various markets, including Italy, Egypt, Brazil, and India

The recent expansion in Hungary reaffirms Nestlé’s dedication to meeting the evolving needs of consumers and the growing demand for high-quality pet food products worldwide.