MILAN – Nestlé has plans to further expand its coffee business in Brazil. The Swiss company, that has been producing soluble coffee in Brazil for 66 years and selling capsules for 13 years, will compete in the R&G segment selling the Nescafé and Starbucks brands.
Nestlé is also studying the best way to introduce the Nespresso, Dolce Gusto and Nescafé brands in coffee shops. To explore the segment, Nestlé will invest R$300 million, or US$76.4 million.
Nestlé reported revenue of SFr22.2bn ($21.9bn) in the first quarter, while organic sales growth stood at 3.4 percent. Both measures were ahead of analysts’ expectations.
The growth acceleration was largely supported by Brazil, the company’s fourth largest market.
