Nestlé Divests South African Cremora Creamer Business to Lactalis
Source: DairyNews.today
Nestlé has announced the sale of its Cremora creamer business in South Africa to dairy giant Lactalis, though the company remains committed to the region's economic growth. The deal includes two manufacturing plants in Babelegi and Potchefstroom, which currently produce the well-known Cremora brand, with no job losses expected as part of the transaction.
Cremora, a staple in South African households for over 77 years, will continue production under Lactalis' ownership. However, Nestlé’s plant in Harare, Zimbabwe, which also produces Cremora, will cease its production of the brand. Instead, the Harare facility will shift its focus to other Nestlé products, including the Everyday and Cerevita lines of creamers and breakfast cereals.
Despite selling the Cremora brand, Nestlé reaffirmed its "long-term commitment" to the East and Southern Africa Region (ESAR), emphasizing its focus on staying competitive and sustainable in the market. Nestlé currently operates five production facilities in South Africa, manufacturing a diverse range of products such as beverages, dairy items, health products, and confectionery.
“This strategic realignment will ensure the Harare facility remains an integral part of Nestlé’s future investments and sustainable development in Zimbabwe,” the company stated. The shift reflects Nestlé’s broader efforts to adapt its business model in the region.
Mota Mota, Nestlé’s regional head of communications, emphasized that Cremora’s transition to Lactalis will benefit all stakeholders. "We believe that Cremora is in good hands with Lactalis. This transition is in the best interests of our business, employees, customers, partners, and consumers, ensuring that Cremora continues to thrive and deliver quality products under new ownership," Mota said.
The sale marks a significant shift in Nestlé's regional portfolio while underscoring the company's focus on sustainable growth across East and Southern Africa.
Despite selling the Cremora brand, Nestlé reaffirmed its "long-term commitment" to the East and Southern Africa Region (ESAR), emphasizing its focus on staying competitive and sustainable in the market. Nestlé currently operates five production facilities in South Africa, manufacturing a diverse range of products such as beverages, dairy items, health products, and confectionery.
“This strategic realignment will ensure the Harare facility remains an integral part of Nestlé’s future investments and sustainable development in Zimbabwe,” the company stated. The shift reflects Nestlé’s broader efforts to adapt its business model in the region.
Mota Mota, Nestlé’s regional head of communications, emphasized that Cremora’s transition to Lactalis will benefit all stakeholders. "We believe that Cremora is in good hands with Lactalis. This transition is in the best interests of our business, employees, customers, partners, and consumers, ensuring that Cremora continues to thrive and deliver quality products under new ownership," Mota said.
The sale marks a significant shift in Nestlé's regional portfolio while underscoring the company's focus on sustainable growth across East and Southern Africa.