Skip to site menu Skip to page content

Daily Newsletter

19 November 2025

Daily Newsletter

19 November 2025

Nestlé invests in UK instant coffee factory

The cash will be used to build a new mixing plant and install two packing lines at the site.

Satarupa Bhowmik November 19 2025

Nestlé is investing in production and packing at a coffee plant in north-west England.

The site in Dalston in Cumbria, is getting a cash injection of £28m ($36.7m) to build a new mixing plant and install two packing lines for the Nescafé Frothy Coffee instant beverage range.

Expansion work at the plant is due to be completed by February next year, the group confirmed to Just Drinks.

Nestlé said in a statement that the new mixing plant will account for £17.5m of the investment, incorporating the “latest equipment and design standards”.

The four-storey facility will include a new system designed to handle ingredients in larger bags, which will cut heavy lifting by 80%.

Meanwhile, the additional packing lines will be capable of producing up to 60,000 frothy coffee sachets per hour. Costing £10.7m, they will replace older equipment.

They will also be able to use new packaging materials, including Mono PP laminate, making the sachets “fully recyclable”, Nestlé said.

Mono PP laminate is a flexible packaging material made from polypropylene and is reportedly able to increase recyclability.

Operating since 1962, Nestlé said the Cumbria plant is recognised as a global "centre of excellence" for frothy coffee production. Some 339 people are employed at the facility.

The site also manufactures Nescafé Cappuccino and Latte, Coffee Mate, and the Starbucks range of Latte products.

Richard Watson, CEO of Nestlé's UK & Ireland division, said: “The Dalston investment is a prime example of how we’re investing in the future of the British food and drink industry - modernising our operations and supporting local jobs, driving growth opportunities and being more sustainable.”

In the first nine months of 2025, Nestlé reported total sales of SFr65.9bn ($82.1bn), with powdered and liquid beverages, including coffee, along with confectionery, being the “largest” organic growth contributors of 7.5% and 8%, respectively.

“This growth was pricing-led, with double-digit increases in some markets,” Nestlé said in its results statement, singling out coffee and confections.

Powdered and liquid beverages, which includes the brands Nescafé, Nespresso and Milo, delivered sales of SFr18.4bn.

Uncover your next opportunity with expert reports

Steer your business strategy with key data and insights from our latest market research reports and company profiles. Not ready to buy? Start small by downloading a sample report first.

Newsletters by sectors

close

Sign up to the newsletter: In Brief

Visit our Privacy Policy for more information about our services, how we may use, process and share your personal data, including information of your rights in respect of your personal data and how you can unsubscribe from future marketing communications. Our services are intended for corporate subscribers and you warrant that the email address submitted is your corporate email address.

Thank you for subscribing

View all newsletters from across the GlobalData Media network.

close