Swiss company Nestlé has launched the first production line at its new vermicelli factory in Smolyhiv (Torchynska settlement community, Lutsk district, Volyn region), which is the result of a CHF40 million ($50 million at the current exchange rate) investment announced 30 months ago, according to a press release issued by the company on Monday. according to a company press release on Monday.
“The production capacity of the first line will enable the company to produce 5,000 tons of vermicelli by the end of 2025, with a planned increase in production with the opening of additional lines in the next two years,” the release said.
Nestlé notes that the Smolyhiv factory is the fourth factory opened in the company’s 30 years of operation in Ukraine.
“With the opening of the new factory, the company has created a European hub for food production in Ukraine in Volyn, combining the new factory in Smolyhiv with the one already operating in neighboring Torchyn,” the statement said.
According to the statement, the company is expanding its vermicelli production to meet growing demand in both Europe and Ukraine under the Maggi and Mivina brands. The new factory is an export-oriented enterprise: 75% of its products will be supplied to EU markets under the Maggi brand, which will increase foreign currency inflows to Ukraine. At the same time, 75% of the raw materials for production come from local suppliers in Ukraine, with wheat and sunflower oil being the key ingredients.
“The factory’s advantageous geographical location in western Ukraine creates ideal conditions for Nestlé to produce in Ukraine for both the local market and for export,” said Alessandro Zanelli, CEO of Nestlé in Ukraine and Southeast Europe, in a press release.
He added that the factory is a modern, digital, and fully automated production facility.
Ivan Rudnytskyi, head of the Volyn Regional State Administration, recalled that a factory producing ketchups and sauces under the Torchyn brand and a Nestlé distribution center are already operating in the region, and the launch of the new factory has created more than 300 new jobs, and that this number will increase in the near future to more than 1,500 people in the newly created production hub in Volyn.
Nestlé is one of the world’s largest food and beverage companies, operating in 187 countries. It offers a wide range of products and services for families and pets.
It has over 2,000 brands. Nestlé began operations in Ukraine in 1994 with the opening of a representative office, acquired a controlling stake in ZAT Lvivska Kondyterska Fabryka Svitloch in 1998, and has owned 100% of the company since 2018.
In May 2003, Nestlé Ukraine LLC was established in Kyiv, and at the end of that year, Nestlé became the owner of 100% of the shares of Volynholding.
In 2010, Nestlé SA acquired Technocom LLC in Kharkiv, a manufacturer of instant products under the Mivina brand. In 2012, Nestlé Business Service (NBS Europe) was established in Lviv, which is one of seven Nestlé service centers in the world and provides support services to Nestlé divisions in more than 40 countries.
Nestlé’s business in Ukraine includes the following areas: coffee and beverages, confectionery, culinary products (cold sauces, seasonings, soups, instant products), baby and special nutrition, ready-to-eat breakfasts, and pet food.
At the end of last year, Dzanelli reported that Nestlé in Ukraine had increased production by 7-8% in 2024 and expects 10% growth in 2025.
