KUALA LUMPUR: Nestlé Malaysia has achieved a major milestone in its local sourcing efforts, with 100 per cent of the fresh chillies used in its Maggi Chilli Sauce now sourced from within the country.
The achievement underscores the company’s long-term commitment to strengthening national food security while uplifting local farming communities.
The milestone was highlighted during an official visit by Economy Minister Akmal Nasrullah Mohd Nasir to the People’s Income Initiative-Agropreneur (IPR-INTAN) Putrajaya chilli farming project.
The visit showcased how structured partnerships between the private sector, government agencies and smallholder farmers can drive sustainable agriculture while creating stable livelihoods for B40 communities.
During the visit, the minister was briefed on the success of the high-yield chilli farming initiative, which has significantly improved farmer incomes, productivity and integration into Nestlé Malaysia’s supply chain.
The project, which operates under the Nestlé Chilli Club since 1995, supports farmers across 12 sites in Kelantan, Selangor, Putrajaya and Johor, spanning across 146 acres.
By providing structured training, guaranteed demand and fully traceable supply chains, the programme ensures income stability and long-term growth for participating farmers, and after years of expansion, it now fully meets the chilli requirements for Maggi Chilli Sauce.
Nestlé Malaysia chief executive officer Juan Aranols emphasised the broader significance of the initiative, noting that supporting local farmers is essential not only to the company’s operations but also to the country’s food security agenda.
“Long-term partnerships with farming communities and government stakeholders, including our collaboration with IPR INTAN under the ministry, reflect our shared responsibility to build a more resilient and self-sufficient food system while empowering B40 households,” he added.
Farmers involved in the IPR-INTAN Putrajaya project currently earn an average monthly income of about RM3,000.
Now in its fifth cycle in 2026, the initiative has produced over 200 tonnes of chillies valued at about RM1.5 million, demonstrating the economic potential of structured smallholder farming.
Nestlé Malaysia further supports farmers through training in modern, eco-friendly regenerative agricultural practices aimed at improving yields and productivity.
The chilli initiative forms part of Nestlé Malaysia’s broader Farmer Connect programmes, which also support rice, cocoa and coffee farmers nationwide.
These programmes focus on strengthening farm productivity and resilience through regenerative agriculture, technical training and long-term capacity building, including collaborations with the Malaysian Cocoa Board in Sabah and Sarawak and coffee farming in Kedah as well as Gua Musa, Kelantan.
Nestlé Malaysia aims to continue expanding local sourcing while building a more sustainable and resilient food ecosystem for the future.