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January 10, 2014

US: Kellogg builds snacks plant in Malaysia

Kellogg has started work on a new snacks factory in Malaysia as part of plans to up its investment in emerging markets.

By Dean Best

Kellogg is to build a snacks factory in Malaysia as part of plans to up its investment in emerging markets.

The US food giant said the site, 60km south of the Malaysian capital Kuala Lumpur, would increase its capacity to manufacture Pringles for markets in Asia Pacific. The new factory will create at least 300 jobs, it said.

Kellogg is restructuring its production network to lower costs to provide resources to invest behind brands in developed markets and expand in emerging economies.

Last month, Kellogg announced plans to close plants in Australia and Canada, as well as to expand a cereal and snacks factory in Thailand.

Announcing the investment in Malaysia today (10 January), Kellogg president and CEO John Bryant said: “We have a compelling business need to better align our assets with marketplace trends and customer requirements. To that end, we are taking action to ensure our manufacturing network is operating the right number of plants and production lines – in the right locations – to better meet current and future production needs and the evolving needs of our customers.”

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