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October 9, 2014

Heinz UK site faces axe after end to Aunt Bessie’s deal

A Heinz production plant in the UK is set to close after the end of the US food group's licence to manufacture Aunt Bessie's frozen potato lines.

By Dean Best

A Heinz production plant in the UK is set to close after the end of the US food group’s licence to manufacture Aunt Bessie’s frozen potato lines.

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The agreement finishes next year and the owner of Aunt Bessie’s, William Jackson Food Group, has decided to bring the management of the brand’s potato business in-house. Belgium-based potato products supplier Agristo will be the new manufacturer of the products.

Heinz said it was “deeply disappointed” to announce plans to close its site in the Norfolk town of North Walsham.

It insisted it did not have “sufficient manufacturing volume to keep the factory operational”. Production at the plant, which employs 200 people, is slated to end between February and April.

Norman Soutar, CEO of William Jackson Food Group, said: “Our contract with Heinz reaches its natural end in 2015. Heinz has done a great job with our Aunt Bessie’s potato business but we’re now keen for it to join the rest of the Aunt Bessie’s operations in-house, giving us greater influence over its management and long-term future direction.

“We scoured the UK and then Europe for new a supplier of potato products which would deliver the quality expected by our customers and selected Agristo.”

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Free Whitepaper
img

What is the impact of historically high inflation on the UK consumer landscape?

The average UK consumer is experiencing a severe cost-of living crisis as inflation surges to a forty-year high and the price of goods continues to rise. This shock is the result of the sharply increasing costs of commodities, energy, and the ongoing conflict in Ukraine, and is threatening FMCG manufacturers, retailers, and foodservice operators’ ability to survive and grow. Inflation will have a profound effect on many consumer-facing industries in 2022 and beyond. Consult GlobalData’s new whitepaper, Inflation in the UK: The Impact of Historically High Inflation on the UK Consumer Landscape, to better understand shifts in consumer behavior and their impact on spending patterns, as well as the implications for UK businesses. This whitepaper covers:  
  • Why has global inflation returned with a vengeance?
  • What is the current inflation situation in the UK?
  • What impact is inflation having on UK retail sales?
  • What tactics are businesses relying on to tackle the effects of high inflation?
  • How are consumers changing their behaviors to cope with the higher cost of living?
  • Which industry sectors are most vulnerable to reduced consumer demand?
  • How is the government responding to high inflation?
  • How long will high inflation last in the UK?
  • How can your company survive and thrive in a high inflation environment?
Enter your details here to receive your free whitepaper and ready your business for these increasingly uncertain times.
by GD50 Custom
Enter your details here to receive your free Whitepaper.

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