Spanish lollipop giant Chupa Chups and Turkish chewing gum producer Kent Gida have revealed that they will start to build a joint venture, Chupa Chups Kent, in St Petersburg next month.

The new plant, for which the two companies have earmarked US$25m, is to produce mostly soft and hard caramel and chewing gum for the Russian and CIS market.

Chupa Chups Kent says that it expects to produce 10,000 tonnes of product in its first year of operation. This output will be increased to between 30,000-35,000 tonnes a year after it has been in operation for between a year to eighteen months.

The majority of the necessary raw materials will be sourced in Russia.

The companies said that construction have not already started because they were awaiting building permission, however this is expected to be received by the end of January.