Finland’s Fazer Group is investing EUR40m (US$45.8m) in a new domestic production plant.
Work is due to begin on the site in Lahti, Finland, as soon as possible with the project expected to create 30 jobs, the company said in a statement today (15 January). The investment will be spread over 2019 and 2020.
“The investment involves new and interesting initiatives, which we will tell more about in March,” said Mats Liedholm, the chief executive of Fazer’s Lifestyle Foods business.
Yesterday, Fazer announced it planned to close a domestic bakery in Oulu, with production to be transferred elsewhere, although the company did not give details on locations. Some 83 people are likely to lose their jobs as a result.
The new plant in Lahti looks likely to produce value-added grain products. A Fazer spokesperson told just-food that the company would not be providing more details on the product line-up at this stage and would reveal more information in March.
Liedholm added: “In line with our growth strategy, herbal products and solutions are one of our most important development areas. Fazer wants to be a pioneer in value-added grain products and invests in the development of new production technologies and solutions. We work with an innovation that we believe will arouse interest outside Finland and the Nordic countries, even globally.”
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Fazer’s statement today highlighted the company’s strategy to expand in northern Europe and in “selected” international markets, with the facility in Lahti part of that objective.