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March 20, 2015

Orkla pumps US$16m into Fredrikstad plant

Orkla has announced a NOK130m investment in its Fredrikstad plant.

Orkla has announced a NOK130m (US$16m) investment in its Fredrikstad plant.

The meat processor said the investment would be over 2015-2016. The plant produces processed meat products such as canned liver paté, sausages, hamburgers, meatballs, meat for Orkla’s pizza production.

The investment is expected to increase capacity at the plant from 12,500 tonnes of processed meat to 16,500 tonnes.

A spokesperson told just-food at present, most parts of the canning lines are "outdated and worn-out and other parts do not meet capacity of HSE requirements".

The total investment will include restructuring and some automation on the sausage production line, meaning 15 of the 200 jobs are at risk. The spokesperson said given the average age within the production departments is over 50, "this will probably be solved by natural retirements".

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