Nestlé Malaysia breaks ground for RM250m regional logistics hub in Port Klang

• The facility is designed to function as a regional hub, facilitating product exports to over 60 countries and sourcing imported raw materials.

KUALA LUMPUR (March 21): Nestlé (Malaysia) Bhd (KL:NESTLE) on Friday broke ground for a RM250 million integrated logistics hub in Port Klang.

The facility is designed to function as a regional hub, facilitating product exports to over 60 countries and sourcing imported raw materials, Nestle Malaysia said in a statement. The hub is expected to be fully operational by the first quarter of 2026 and create over 200 new jobs, it said.

“This milestone project is part of Nestlé’s broader strategy to enhance supply chain efficiency and sustainability while supporting the local economy through job creation and infrastructure development,” the company noted.

The investment also reflects its confident outlook, in line with the company’s earlier guidance of returning to growth by the first half of 2025, Nestlé Malaysia said.

“As we look to the next decade, we envision Port Klang becoming a central export hub for Nestlé Malaysia,” said its chief executive officer Juan Aranols.

Nestlé Malaysia is teaming up with Malconrep Depot (M) Sdn Bhd, a Malaysian-owned logistics company, to invest in the project, though it didn’t provide details of the partnership.

“The confidence that Nestlé Malaysia has placed in us allows for long-term planning and investment in smart warehousing infrastructure and a greener, more efficient logistics ecosystem,” said Chan Sway Wah, the managing director of Malconrep.

Year to date, the stock has declined by 36.4%, and is hovering near its 2014 lows. At its last price of RM63.70, the company had a market capitalisation of RM14.92 billion.

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