France: Danone announces three plant closures

France: Danone announces three plant closures

As part of a programme to rationalize its production network, Danone has announced plans to close three manufacturing locations across Europe.

The three plants affected are at Casale Cremasco in Italy, Hagenow  in Germany, and Budapest  in Hungary, with more than 300 posts at risk.

Commenting on the move, Danone said it would work closely with the employees affected. "The future careers of our staff our our highest priority," said Andreas Ostermayr, CEO of Danone's business in Germany, Austria and Switzerland. "For staff who are able to relocate, we will do everything to find new opportunities within Danone at other production locations. Alternatively we will support staff with job searches in their local region".

Euroinvestor reports that the closures are part of an efficiency drive aimed at  allowing the firm's Fresh Dairy Products division to improve its production capacity and enhance its competitive edge in Europe. Production volumes will be gradually shifted to other locations in Belgium, Poland, Germany and France, it said.

Danone is looking to fully implement the programme by mid 2015.

Source: Euroinvestor / Lebensmittel Praxis