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After ending its partnership with Coca-Cola and finalizing an agreement with Damm to produce and distribute Nestea in Spain, Nestlé has just officially announced this commercial union that will mark a before and after in the ‘iced tea fight’. From 2025, Damm will be in charge of the manufacture and marketing of this popular drink in Spain, Andorra and Gibraltar.
This agreement opens a new era for the brand, which will continue to compete directly with Coca-Cola’s new Fuze Tea. As agreed, Damm has already started manufacturing the full range of Nestea flavors and formats at its plant in Salem (Valencia), maintaining the same quality standards and organoleptic profile of Nestea. The beverage will be available in the markets as of January 1, 2025.
‘We are very pleased to announce that Nestea will continue to be marketed in Spain with Damm, a company with a strong track record,’ said Jordi Llach, managing director of Nestlé in Spain. This new chapter will be a success and our consumers will continue to enjoy their favorite tea brand,’ he added.
For his part, Jorge Villavecchia, CEO of Damm, highlighted that this agreement represents an important milestone for the company: ‘Nestea is a benchmark brand in the tea soft drinks market, and its addition to our portfolio will further strengthen our offer, providing our customers with a quality product that has been appreciated for decades.
A new stage for Nestea
The collaboration between Nestlé and Coca-Cola in the ready-to-drink tea category dates back to 2001, when the two companies created the Beverage Partners Worldwide (BPW) joint venture. In December 2017, this alliance was dissolved, allowing Nestlé to take the reins of Nestea’s independent development.
Although the dissolution of BPW did not imply the end of the relationship between the two companies, in the years that followed Nestlé granted Coca-Cola a license to manufacture and distribute Nestea in various markets, including Spain, Portugal and Andorra. Now, with the closing of this agreement, Damm is revolutionizing the market by taking over the distribution of Nestea.
