Kraft Foods to boost coffee production in Russia

American food and beverage company Kraft Foods plans to invest $100m in its coffee plant in Gorelovo, north-western Russia, to boost coffee production.

The expansion project will up the plant’s coffee production by 50%, from the current 10,500t a year to 16,900t by 2013.

The company also plans to invest an additional $7.5m in the plant to install waste processing equipment, RIA novosti reported.

Kraft Foods decided to boost the coffee production to address the growing demand for freeze-dried coffee and to increase the exports from the plant, which currently supplies coffee to all Commonwealth of Independent States (CIS).

Kraft is the second-largest coffee producer in Russia with a 19.4% market share, after Nestlé which holds a 27.8% share.