Mondelez cuts at least two months from Cadbury ingredient supply lead time via Malaysia plant

Mondelez International is cutting at least two months off its supply-chain lead time for a specific chocolate ingredient. The company opened a $22 million facility in Shah Alam, Malaysia, on Friday to produce chocolate crumb locally. Previously, the ingredient was imported from Australia and South Africa. Nitin Binnani, vice president of customer service and logistics for AMEA at Mondelez International, stated that producing the crumb directly in Shah Alam removes the two-month delay. The facility aims to reduce import and transportation costs while supporting volume growth in Southeast Asia. Shah Alam is currently the sole Cadbury manufacturing hub for the region. It produces more than 130 varieties of chocolate and approximately 100 million bars annually. Binnani noted that Southeast Asian sites serve both domestic and international markets. He indicated the company sees further room for growth in snacking across the region. Cocoa prices have eased after a record-breaking rally over the past two years driven by adverse weather and poor harvests.