Court ruling lets Nestlé resume Nescafé sales in Thailand

SUNDAY, APRIL 13, 2025

Nestlé wins as the Intellectual Property and International Trade Court rules it holds exclusive rights to the “Nescafé” trademarks, allowing product sales to resume.

A historic legal battle over Nescafé rights shakes Thailand's coffee industry. The conflict involves global food giant Nestlé, owner of the Nescafé brand, and the Mahagitsiri family, long-time business partners and co-founders of Quality Coffee Products Co., Ltd. (QCP), a joint venture established in 1990 to produce Nescafé in Thailand.

In 2021, Nestlé announced the termination of its licensing agreement with QCP, with the contract officially ending on December 31, 2024. Following the termination, shareholders from both sides failed to reach a consensus on QCP’s future operations.

This deadlock led Chalermchai Mahagitsiri, a shareholder in QCP, to file for a temporary injunction at the Min Buri Civil Court. On April 3, 2025, the court granted the injunction, prohibiting Nestlé from producing, outsourcing, selling, or importing instant coffee products under the Nescafé trademark within Thailand.

In response, Nestlé filed an emergency motion with the same court on April 11, 2025, seeking to revoke the injunction. The company argued that the court order had wide-ranging impacts on farmers, suppliers, and related manufacturing sectors such as can and packaging producers. The plaintiff’s legal team objected, prompting the court to schedule an emergency hearing for April 17, 2025, at 9am to determine whether the injunction should be lifted.

In a new development on April 12, 2025, Nestlé Thailand, through Khruawan Warunpaijit, Executive Director of Nestlé Professional, issued a letter to business partners. The letter shared an important update: the Central Intellectual Property and International Trade Court had ruled in favour of Nestlé, recognizing it as the sole owner of the Nescafé trademarks in Thailand. 

The decision, which came into effect on April 11, 2025, allows the company to resume its operations and product distribution under the Nescafé brand nationwide.

In a letter signed by Khruawan , the company thanked its trade partners for their support during the recent legal dispute.

“We are pleased to inform you that the Court has confirmed that Nestlé (Thai) Ltd. is the sole entity entitled to use the Nescafé trademarks in Thailand,” the letter stated.

“Nestlé can now resume accepting orders for Nescafé products effective immediately,” the company added. “Our team stands ready to support you in returning to normal operations.”

The company emphasized its long-term commitment to Thailand, saying:

“We remain dedicated to sustainable business practices in Thailand and will continue investing for the benefit of our customers, consumers, employees, farmers, and business partners.”