Nestle India Ltd., one the biggest players in FMCG segment is primarily involved in Food business which incorporates product groups viz. Milk Products and Nutrition, Prepared dishes and Cooking aids, Powdered and Liquid Beverages and Confectionery. The Company manufactures products under brand names, such as Nescafe, Maggi, Milkybar, Milo, Kit Kat, Bar-One, Milkmaid and Nestea. It has presence across India with 8 manufacturing facilities and four branch offices spread across the region. The four branch offices in the country help facilitate the sales and marketing of its products. They are in Delhi, Mumbai, Chennai and Kolkata. The company's head office is located in Gurgaon, Haryana. It has introduced products of daily consumption and use, such as Nestle Milk, Nestle Slim Milk, Nestle Fresh 'n' Natural Dahi and Nestle Jeera Raita.
Nestle India Ltd was incorporated in the year 1956. The company set up their first production facility in the year 1961 at Moga in Punjab. In the year 1967, they set up their second plant at Choladi in Tamil Nadu as a pilot plant to process the tea grown in the area into soluble tea. In the year 1989, they set up a factory at Nanjangud in Karnataka.
In the year 1990, the company entered into the chocolate business by introducing Nestle Premium Chocolate. In the year 1991, they entered in joint venture floated by the parent in collaboration with BM Khaitan group to set up facilities to manufacturing a range of Soya based products. In the year 1993, they set up a factory at Samalkha in Haryana. In the year 1995, the company launched the company's worldwide legendary brand chocolate, Kitkat.
The company commissioned two factories in Goa at Ponda and Bicholim in the year 1995 and 1997 respectively. In the year 1999, the company launched the product, Nestle Growing Up Milk nationally. In April 2000, they forayed into the Ultra Heat Treated (UHT) liquid milk market. In the year 2001, the company launched Nestle Pure Life bottled water. Within few months, they again launched their second water brand-San Pellegrino - in the Indian market. The company also made their foray into the iced tea segment.
In the year 2004, a project has been initiated to upgrade the production technology for infant nutrition products at the Samalkha factory. Nestle India Ltd recognised for its outstanding performance in Exports by the Coffee Board of India in the Export Awards 2004-05 as the Best Exporter of Instant Coffee, Best Exporter to Russia & CIS Countries (coffee) and Best Exporter for Far East Countries (coffee). The company bestowed the UDYOG RATNA award by the PHD Chamber of Commerce and Industry to recognise Nestle's significant contribution to the economic development of Punjab for the year 2005. The company set up a new department -the Channel & Category Sales Development (CCSD) to develop new solutions for the various channels and customers and improve the implementation of commercial plans in the market.
In the year 2006, the company set up their seventh factory at Pantnagar in Uttarakhand. In the year 2007, CNBC Asia presented the company with the India Innovator of the year award. The company's four factories were awarded the internationally recognised external certification ISO 14001 for adherence to environmental processes and OSHAS 18001 for Health and Safety.
In the year 2008, the company launched Nestle Nesvita Pro-Heart Milk with Omega-3 in Mumbai. Nestle Nesvita Pro-Heart is part of daily diet and has Omega-3 heart friendly nutrients scientifically known to help manage cholestrol. As part of their ongoing commitment to offering best in class nutrition products to Indian consumers, the company launched NESTLE NAN 3, a follow-up formula for older infants.
During the year, MAGGI PICHKOO Tomato Ketchup was launched in a unique easy to handle day pack to drive affordability, taste and convenience for a larger number of consumers. The company also launched another pioneering product, MAGGI Bhuna Masala, to cook tasty and healthy everyday meals, more conveniently. The company also launched Nestle Kitkat Mini and Nestle Bar One Mini, at Rs 3 price to expand the repertoire of offerings. Similarly, they launched Nestle Kitkat Chunky at Rs 15 to strengthen the range of wellness oriented Nestle products that consumers can choose from. The company's three more factories were awarded the internationally recognized external certification ISO 14001 for adherence to environmental processes and OSHAS 18001 for Health and Safety. With this, all the seven factories of the company now have ISO 14001 and ISO 18001 certifications.
In the year 2009, the company provided inputs to the group R&D for development of an innovative product Maggi Bhuna Masala. They launched Maggi Nutri-Licious Pazzta. During the year, Maggi further leveraged their strengths to drive affordable nutrition and launched two new products, namely, Maggi Rasile Chow and Maggi Masala-ae-Magic. They launched Nestle Kitkat in a new unique single finger format and Nestle Much Guru pack at the higher price point.
The company acquired the Healthcare Nutrition business of Speciality Foods India Pvt Ltd with effect from January 1, 2010. In 2011, Nestle opens new plant in Karnataka, investing Rs 360 cr. In 2013, the company reviews the General Licence Agreement. The company also acquires 26% minority stake in indocon agro and allied activities pvt ltd. The company commences export of noodles, sauces from New Mangalore Port.
In May 2015, Food Safety Regulators from the Uttar Pradesh, India found that samples of Nestle leading noodles Maggi had up to 17 times beyond permissible safe limits of lead in addition to monosodium glutamate. On 3 June 2015, New Delhi Government banned the sale of Maggi in New Delhi stores for 15 days because it found lead and monosodium glutamate in the eatable beyond permissible limit. The Gujarat FDA on 4 June 2015 banned the noodles for 30 days after 27 out of 39 samples were detected with objectionable levels of metallic lead, among other things. Some of India's biggest retailers like Future Group, Big Bazaar, Easyday and Nilgiris have imposed a nationwide ban on Maggi. Thereafter multiple state authorities in India found unacceptable amount of lead and it has been banned in more than 5 other states in India. On 5 June 2015, Food Safety and Standards Authority of India (FSSAI) orders banned all nine approved variants of Maggi instant noodles from India, terming them 'unsafe and hazardous' for human consumption. In June 2015 Nepal indefinitely banned Maggi over concerns about lead levels in the product. On the same day Food Safety Agency, United Kingdom has launched an investigation to find levels of lead in Maggi. Maggi noodles has been withdrawn in five African nations- Kenya, Uganda, Tanzania, Rwanda and South Sudan by a super-market chain after a complaint by the Consumer Federation of Kenya, as a reaction to the ban in India.
On August 2015, Govt of India made public that it was seeking damages of nearly $100 million from Nestle India for 'unfair trade practices' following the June ban on Maggi noodles. The 6,400 million rupee suit was filed with the National Consumer Disputes Redressal Commission (NCDRC), regarded as the country's top consumer court, but was settled on 13 August 2015. The court ruled that the government ban on the Nestle product was both 'arbitrary' and had violated the 'principles of natural justice.' Although Nestle was not ordered to pay the fine requested in the government's suit, the court ruled that the Maggi noodle producers must 'send five samples from each batch of Maggi [noodles] for testing to three labs and only if the lead is found to be lower than permitted will they start manufacturing and sale again. The ban has been repealed by the Government of India, with effect from the end of 2015, after the company cleared court directed safety tests. The test results from all laboratories mandated by the Bombay High Court have validated Nestl India's position that MAGGI Noodles are safe for consumption. The company resumed manufacturing at Pantnagar (Uttarakhand) Factory and also resumes manufacturing of MAGGI at Tahliwal, HP unit. On 9 November 2015, Nestle India announced reintroduction of MAGGI Noodles in the market.
On April 2016, Nestle India announced that MAGGI Noodles has further strengthened its leadership position with more than 50% market share in the Noodles category as per Nielsen report. On 21 April 2016, Nestle India announced the launch of a brand new exotic range of Greek Yoghurt under the brand name of NESTLE a+ GREKYO. NESTLE a+ GREKYO is a further brand extension of the NESTLE a+ range.
On 29 April 2016, Nestle India announced the launch NESCAFE SUNRISE INSTA-FILTER - which provides the taste of filter coffee and yet does not require a filter. On 17 August 2016, Nestle India announced the launch of new variants of MAGGI Noodles MAGGI HOT HEADS' and MAGGI No Onion No Garlic Masala'. On 26 August 2016, Nestle India announced the launch of NESTLE a+ PRO-GROW milk containing 20% higher milk protein.
On 20 March 2017, Nestle India announced the launch of MILO Ready to Drink, a cocoa-malt milk beverage crafted specially for growing children. MILO RTD has lower sugar with less than 10 grams of added sugar per pack (180 ml). On 2 May 2017, Nestle India announced the launch of a new range of MAGGI noodles in four new flavors - Amritsari Achari, Mumbaiya Chatak, Super Chennai and Bengali Jhaal.
On 9 May 2017, Nestle India announced the extension of its popular NESTLE a+ GREKYO range with the launch of Blueberry Greek Yoghurt and Greek Style Curd. On 29 August 2017, Nestle India announced the launch of MAGGI NUTRI-LICIOUS noodles range in four flavors - Atta Masala, Atta Mexicana, Oats Masala and Oats Herbs & Spice.
On 8 March 2018, Nestle India's food brand MAGGI completed 35 years of existence in India. MAGGI began its journey in 1983, with the launch of MAGGI 2-minute noodles.
During the year 2018, all factory laboratories of the company have received accreditation from the National Accreditation Board for Testing and Calibration Laboratories (NABL), which is aligned with ISO 17025 Standard. Accreditation of Laboratories is considered to be an important indicator of the technical competency to undertake the tests for which the laboratory is accredited and further strengthen consumer trust in the products.
During 2018, the company bagged Employee Engagement Leadership Award' in the category Best Initiative in Benefits for Working Mothers' at the Employee Engagement Leadership Converge 2018. Also recognized by Brand Equity, as one of the Top 10 Ads of March 2018' for MAGGI MASALA-AEMAGIC Kuch Achha Pak Raha Hai' film. The company also been awarded Product Innovation of the year 2018' in the Nutrition Category for NESTLE CEREGROW. The company won ET NOW, CSR Leadership Awards for the commendable work in the category of Concern for Health'.
In line with zero defect mindset, during 2019, a special focus was given towards upstream raw material vendors for products such as wheat flour, tomato and chilly paste and sugar, as well as at company's factories ensuring right quality and compliant product. All the offices and factories of the company are certified under Safety and Health Management System that complies with ISO 45001:2018 & Environment Management System that complies with ISO 14001:2015.
The Company has been awarded AAA credit rating for its bank credit facilities by CRISIL. It is the highest rating and indicates a stable outlook for the Company. The rating reflects that the Company has serviced its financial obligations on time. As regards the short term facility provided by the bank, the Company has been awarded the credit rating of A1+. The rated instrument reflects strong degree of safety and lowest credit risk.
Nestle India won 'Best Overall Excellence in CSR' at the National CSR Leadership Awards 2019. The company also received three awards at Nielsen Breakthrough Innovation Awards for NESCAFE Ready-to-Drink (Emerging Play), MAGGI Masalas of India and KIT KAT Strawberry Duo (both Short Term Play).
Also bagged AskNestle / NINA' Gold for Most Innovative Mobile Campaign of the year at MOBEXX Awards 2019. Nestle Health Science won Nutrition and Wellness Awards 2019 by CIMS Medical. MAGGI won at the 3rd edition of The Advertising Club's MARQUEES Awards 2019 in the FMCG (Foods) category.
Nestle India Supply Chain won Leadership Awards 2019 during 13th ELSC Leadership Conclave in the category of 'Customer Intimacy & Service Excellence' Company of the Year. Moga Factory of the Company was awarded The Golden Peacock National Quality Awards held at Dubai (UAE). Moga Factory of the Company received 'Golden Peacock Occupational Health & Safety Award' for the year 2019.
The company is planning to spend Rs 26 billion on capital investment.
In FY'20, Company launched KOKO KRUNCH and NESPLUS was renovated with new packaging. It launched MAGGI Atta Spinach noodles for consumers seeking both taste and nutritional benefits. It launched MAGGI Fried Rice Masala with two spice mixes - Classic Veg and Chilli Garlic fried rice, and MAGGI Paneer-aeMagic Shahi Paneer and Kadhai Paneer Masala mix. It built a strong Toddler portfolio with the launch of LACTOGROW Toddler. Introduction of smaller 200g SKUs of RESOURCE HIGH PROTEIN and RESOURCE DIABETIC in key channels, helped consumers to restart lives in the new normal lives.
In 2021, Company launched MAGGI Veggie Masala Noodles with vegetables in the iconic masala taste. It launched MAGGI Special Chicken65 Masala Noodles. It launched two new variants of MAGGI Hot n Sweet Sauce - Sriracha' and Extra Hot'. MAGGI Masala-ae-Magic expanded in South India with the launch of a new variant MAGGI Masala-vin-Magic. It concluded MAGGI Desh ke Liye 2 Minute - Apna Food Business' initiative, which received 10,000 entries, with funds, equipment and training to start their own food business. It launched Nestlé GOLD Corn and Oat flakes in the cereals category. It launched KOKO KRUNCH Kookie cereal strengthening the kids cereal portfolio. KOKO KRUNCH was renovated with improved taste and increase in whole grains. MILKMAID increased its engagement through digital platform milkmaid.in' by providing dessert recipe solutions for baking enthusiasts. Its Ready-to-Drink beverage portfolio of NESCAFÉ and MILO saw accelerated growth in home consumption that was supported by an increase in distribution.
In 2021, Company accelerated growth, building its presence in nutritional science through products such as RESOURCE HIGH PROTEIN, RESOURCE DIABETIC and OPTIFAST. It renovated RESOURCE HIGH PROTEIN with immunonutrients. It launched NESCAFÉ ALL in 1 - a convenient coffee premix and NESCAFÉ Black Roast. It expanded portfolio with launch of NESCAFÉ SUNRISE Liquid Decoction which is a ready-touse' coffee decoction for consumers desiring a filter coffee experience. It commissioned a new KITKAT line in its Ponda factory in Goa. It launched Nestlé MUNCH FRUIT O NUT. It launched KITKAT Kookie & Crème flavor, across all channels. In 2021, there was portfolio expansion with product launches across Prepared Dishes and Cooking Aids and Coffee and Beverages portfolio that supported the OOH business. It focused on premiumizing the beverage portfolio, through the scale up of NESCAFÉ Roasted Whole Bean coffee and bean-to-cup solution. It launched NESTEA Instant Green Tea Powder, a 100% pure and natural powder manufactured in the Choladi factory to provide consumers with premium products for the OOH business. NESCAFÉ Sunrise Strong with a stronger and more aromatic coffee-chicory blend was introduced in South India. It invested into the kiosk business through 'Entrepreneurship for Youth' which helped create livelihood and job opportunities for franchisers.