Not Waiting, but Building: Why Nestlé Invested €43 Million and Opened a New Factory in Ukraine During the War

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While the war continues to reshape global risk maps, Nestlé has made a clear choice — to invest in Ukraine.
One of the world’s largest food companies has launched a new state-of-the-art factory in Smolyhiv, Volyn region, committing €43 million to a project that is already transforming the local economy and strengthening Ukraine’s industrial resilience.

This is not just a production facility. It is a strong signal of confidence in Ukraine’s future.

Nestlé in Ukraine: 30 Years of Presence and a Strategic Wartime Decision

Nestlé has operated in Ukraine for over 30 years, investing in manufacturing, local communities, and sustainable food systems.
In 2022, amid Russia’s full-scale invasion, Nestlé became one of the first major multinational companies to announce new investments in Ukraine, instead of freezing or relocating operations.

By 2025, that decision materialized with the opening of Nestlé’s first greenfield factory in Ukraine.

A New Factory in Volyn: A Powerful Economic Boost

The Smolyhiv factory is Nestlé’s fourth production facility in Ukraine and a cornerstone of a broader food production hub in western Ukraine.

Key figures:

  • €43 million in investments (approx. €2 billion UAH);
  • Hundreds of jobs created immediately;
  • long-term potential for up to 1,500 employees across the Volyn production hub;
  • export-oriented production, with 75% destined for EU markets;
  • strong multiplier effect for local suppliers and related industries.

The facility spans 20 hectares with more than 25,000 sq. m of modern production space.

A Values-Based Choice: Why Ukraine

According to Alessandro Zanelli, CEO of Nestlé Ukraine and South-Eastern Europe, the decision went beyond pure financial calculations.

“From a financial perspective, building in Ukraine or elsewhere was almost equal. But this was a moment when business intersected with values. We chose Ukraine. Opening a factory here sends a clear message — our decisions are not only about numbers, but also about responsibility and commitment.”

What the Factory Produces and Where It Exports

The new site focuses on instant noodles production under the Mivina and Maggi (Maddie) brands.

  • The first production line is already operational;
  • 5,000 tons of output expected by the end of 2025;
  • Primary markets: Ukraine and the European Union;
  • Designed as a scalable platform for future expansion.

High Safety Standards and Energy Independence

Despite operating during wartime, the factory meets top global safety and quality standards:

  • Fully automated production processes;
  • Minimal manual intervention;
  • Modern bomb shelters meeting advanced safety requirements;
  • 1.3 MW solar power plant, covering around 20% of annual electricity needs and up to 100% on sunny days.

This aligns with Nestlé’s global decarbonization and sustainability strategy.

Supporting Farmers and Regenerative Agriculture

Nestlé is actively promoting regenerative agriculture practices in Ukraine by helping farmers:

  • reduce CO₂ emissions;
  • preserve soil fertility;
  • adopt minimal tillage technologies.

The company provides education, financial support for specialized equipment, and long-term contracts, ensuring stability for agricultural partners.

Social Impact and Support for Ukraine

Since the start of the full-scale war, Nestlé has delivered CHF 30 million in humanitarian aid to Ukraine, including food supplies and financial contributions to local organizations and rehabilitation centers.

Nestlé also invests in education and youth employment through:

  • “Nutrition Alphabet” for children;
  • Nestlé Needs Youth, offering internships and first-job opportunities.

In 2024–2025 alone, over 650 young Ukrainians joined Nestlé’s internship and employment programs.

Investment as a Signal of Confidence

The Smolyhiv factory is more than an industrial project.
It is proof that long-term investment in Ukraine is possible — even during war.

By building, exporting, creating jobs, and supporting communities, Nestlé sends a clear message to global investors:
Ukraine is resilient, open for business, and focused on the future.

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