Maputo — The multinational food company Nestle has announced that it is to spend 30 million US dollars building a factory in the municipality of Dondo, in the central Mozambican province of Sofala.
The factory will produce a range of food products including seasonings, milk products, coffee and other types of drinks.
According to the Director of Nestle Mozambique, Diogo Vitoria, the plan to construct the factory has been approved by the government, and the company is now looking at resettling families who live on the site. The director did not give figures for the number of people who will be resettled.
Vitoria, speaking on Wednesday during a ceremony to launch new Nestle products, said that the factory will bring benefits to the company, the suppliers and the consumers.
"We will have greater flexibility to adapt our products to meet the needs of our consumers and the local farmers who are going to supply the raw material", said Vitoria.
The goods produced at the factory are intended to supply the domestic and the wider SADC (Southern African Development Community) market.
Speaking at the ceremony, the Minister of Industry and Trade, Armando Inroga, said that the government had approved the building of the factory in the context of its policy of developing industry at district level.
He believed that the opening of the factory in Dondo will be of crucial importance. Firstly, at local level it will create more employment and increase family income. Secondly, at the national level it will help increase exports.
According to Nestle, the factory will use local raw materials and will make products to meet the needs of the national and regional markets.