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Nestlé invests $17m in medical nutrition down under

By Shane Starling , 25-Oct-2012
Last updated on 26-Oct-2012 at 14:46 GMT2012-10-26T14:46:31Z

Nestlé invests $17m in medical nutrition down under

The world’s biggest food player, Nestlé, is investing A$17m (€13.6m) to renovate an Australian facility so it can produce medical foods for its Health Science division.

Tube-feeding liquid products under marquees like Resource, Isosource and Sustagen will be made at the new section of a milk powder, sauces and soup plant in Victoria.

The products are designed for the hospitalised and malnourished and those suffering from diabetes and renal disorders. The new plant section will have a capacity of 7000 tonnes per year.

Nestlé Health Science was conceived in September 2010 to explore opportunities that exist in the space between medicine and traditional foodstuffs. Hear a podcast on that here .

Of the new investment that will create 30 jobs, Paul Bruhn, regional business head for Nestlé Health Science in Asia, Oceania and Africa said: “This significant investment by Nestlé Australia to extend its Tongala factory into a bigger production hub is a huge vote of confidence the company has in the region.”

“The transformation to our factory creates enormous potential for growth as we develop and roll out new products for local and regional markets.”

Nestlé Health Science acquired UK medical foods start-up CM&D Pharma Limited in 2011, a company that had a medical gum called Fostrap that utilises the polysaccharide chitosan to bind phosphate (via electrolysis) and prevent it entering the digestive system.

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