Nestlé Portugal has invested €30 million to modernise its Avanca factory in Estarreja, increasing the production capacity of cereal-based drinks including Tofina, Bolero, Pensal, Brasa, and Mocambo.
The Swiss company has chosen to concentrate all its European cereal drink production at its Avanca facility, leveraging the site's long-standing expertise in roasting and extracting cereals. With over 60 years of producing cereal drinks in Portugal, Avanca is Nestlé's oldest facility in this sector.
This strategic move will centralise production and ensure that the facility can handle increased demand, the company noted.
Increased Production Capacity
Commenting to Portuguese news agency Lusa, Teresa Mendes, Nestlé's Iberian coffee director, explained: “The new cereal drinks production line, which went into operation about two weeks ago, will allow us to increase the production capacity by about 15% and automatically also increase exports, which currently represent 70% of production, with a focus on Europe and also on Asia and Latin America.”
The modernised Avanca facility is also optimised for improved efficiency and sustainability. The new production line is specifically designed to extract cereals more effectively, reducing waste and optimising resource utilisation.
This technological upgrade reinforces Avanca's position as a leading facility in the cereal drink segment.
Consumer Demand
Nestlé's investment in its cereal drink production aligns with rising consumer demand for healthy and natural products. The company's cereal drinks, which are free from added sugars, recently earned the endorsement of the Portuguese Nutrition Association, further validating their nutritional value.
Nestlé has had a presence in Portugal since 1923, where it operates two production units – one in Porto, dedicated to coffee roasting, and the Avanca factory – as well as a distribution centre in Estarreja.
