Brazilian coffee surplus sparks innovation

In the late 1920s, Brazil produced far more coffee than the world could consume, leading to a massive surplus. Coffee beans piled up in warehouses and ports, with no clear solution for disposal, as global demand had dropped sharply.

Economic crisis worsens coffee crisis

The 1929 Wall Street crash further damaged the coffee market, causing prices to collapse. Coffee, once a valuable commodity, lost most of its worth. In response, the Brazilian government resorted to burning its surplus or using it as fuel, unable to find buyers.

Nestlé steps in to solve the problem

A group of Brazilian bankers approached Nestlé in 1930, asking the Swiss company to help transform the excess coffee into a product that could attract new consumers. Nestlé accepted the challenge, unaware it would take nearly a decade to find a solution.

Chemist discovers aroma-preserving formula

Max Morgenthaler, a chemist at Nestlé, spent years searching for a way to preserve coffee’s flavor when reduced to powder. He found that adding maltodextrins, a type of complex sugar, to the coffee extract before drying helped protect its aroma during the atomization process.

Nescafé launched with a clever name

The final formula, a balance of half soluble coffee extract and half maltodextrins, was launched on April 1st, 1938. The name Nescafé was chosen as a combination of the first three letters of Nestlé and the word coffee, marking the beginning of a product that would become globally recognized.

World War II propels Nescafé to global fame

During World War II, the U.S. military included Nescafé in soldiers’ rations. Its light weight, ease of transport, and quick preparation made it ideal for battlefield use. This exposure helped Nescafé become a household name far beyond its Swiss origins.

Technological advancements improve the product

In 1965, Nestlé introduced Nescafé Gold, using a process called lyophilization. This method involved freezing the coffee extract and removing water under vacuum, preserving the aroma better than traditional atomization. It marked a significant improvement in the product’s quality.

Nescafé remains a key part of Nestlé’s success

As of the first half of 2026, soluble coffee remains a vital part of Nestlé’s business, showing a 7.5 percent organic growth. Sales reached 12.126 billion Swiss francs, even as arabica coffee prices dropped due to a large Brazilian harvest. The product, born from a crisis, continues to shape global coffee consumption.