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Nestlé Design Cuts Building Costs By Half

July 7, 2014
by Candy & Snack TODAY

Vevey, Switzerland — Nestlé SA has developed a modular plant design that can be erected in about half the time and for about 50 to 60 percent less than traditional buildings, the company reports.

The factories are made from multiple, easy-to-assemble component sections designed to be flexible, simple, cost effective and ideally suited for expanded production in developing nations, according to Nestlé, adding the new design reduces the risk involved with investing in emerging markets, as they often lack infrastructure, reliable energy sources and building expertise.

Nestle SA has developed a modular building design


The company reports construction of a factory typically takes between 18 to 24 months and up to $55 million, while modular facilities can be built in less than 12 months and cost between $16.7 to $27.9 million.

The modular factory comes in a series of purpose-built sections that can be brought in, ready to use, directly to the site and connected to each other to meet the facility’s requirements, according to Nestlé.

Alfredo Fenollosa, technical head for Asia, Oceania and Africa, says: “Big companies traditionally build solid stuff, but the lighter structure of this modular factory concept represents a real mindset change for Nestlé. We hope to be able to apply it soon in countries in Africa and in some parts of Asia.”  

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