FRANCE: CECAB to close two vegetable canning plants
French co-op CECAB is to close two plants over the next two years as it rationalises vegetable processing and ready meals production.
Output at the facilities, located in eastern France and Brittany, will be transferred to three CECAB facilities in the country and one in Hungary. Both plants produce D'Aucy brand and private-label tinned vegetables.
A spokesman for CECAB told just-food the decision was based on the facilities not operating competitively as a result of "insufficient production capacity".
CECAB said it plans to run its existing plants at full capacity as a result of the closures Its annual vegetable output is around 460,000 tonnes.
Around 308 jobs will be affected, but CECAB said it will offer 403 positions at the remaining plants where production will increase and elsewhere in the group.
Some EUR50m has been earmarked for investment in production, packaging, logistics and storage facilities over the period between 2013 and 2015.
Sectors: Canned food
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