Fazer Invests in Latvia and Increases the Efficiency of its Baltic Bakery Business
02 Sep 2014 --- Fazer continues to develop its bakery network in the Baltic countries. The Group will invest more than 5 million euros in the bakery in Ogre in Latvia, and plans to transfer the production from the bakery in Estonia to its bakeries in Latvia and Lithuania.
The planned investment in Ogre will open new opportunities for Fazer and strengthen the company’s competitiveness in the Baltic market.
“The market situation in the Baltic countries is very challenging. There is overcapacity in the Baltic bread market, and the consumption of pre-packed bread is declining. Consolidating the production we will increase our efficiency. Our 5 million euro investment in Latvia in new production facilities will open up new opportunities for us”, says Petri Kujala, Managing Director of the Fazer Bakery Business Area.
Fazer will continue to serve consumers in all three Baltic countries with high-quality products as well as locally preferred brands and tastes. The close-down of the production unit in Tallinn in Estonia is planned to take place in April 2015. It will affect at most 95 employees in production.
Fazer has 18 bakeries in total. Six of them are located in Finland where Fazer also has 46 in-store bakeries in supermarkets. Five of the bakeries are located in Sweden and four in Russia. Fazer also has one bakery in each of the Baltic countries.
