Three hundred jobs are being created at the Nestle factory in South Derbyshire
The company announced in November 2011 that it planned to expand production at the plant as part of a wider investment of £500 million.
Today's announcement also includes 100 new apprentice and graduate jobs across all its sites this year.
Nestle has seen a 40% rise in sales of its "coffee shop quality" products in its Dolce Gusto and Azera ranges, some of which are made at the Tutbury plant.
The announcement of new jobs comes a day after the firm announced a jump in operating profits of 11.8% to 14 billion Swiss francs (£10 billion).
Nescafe UK and Ireland chairman Fiona Kendrick said:
"Our consumers are adapting to the tough economic climate by changing the way they shop.
"We have grown our business by responding to this new reality, particularly in fast growing channels such as online shopping, convenience stores and discounters, as well as the more traditional outlets."