Fazer Group to Close Baking Facility

Finnish food company Fazer Group has announced its plans to close its baking facility located in Oulu, Finland.

The company said it was transferring its operations in Oulu to other Fazer bakeries in the country. Some 83 employees will be affected by the decision.

Fazer said the decision was taken after it “evaluated the efficiency of its bakery network as the consumption of pre-packed bread has decreased.” At the same time, the popularity of products baked in-store has increased, and Fazer has plans for development in this direction.

The company now has 64 in-store bakeries employing 450 people. It estimates that in 2021 it will have 100 in-store bakeries with 600 employees.

Markus Hellström, the managing director of Fazer’s bakery operations in Finland, said: “At the same time, we must adjust our business as pre-packed bread is bought less. In addition, material and energy costs have continued to rise and it is not possible to fully transfer the cost effects into prices. Adjusting our operations is inevitable for our future competitiveness. If the Oulu bakery were to be closed, we would help our employees to find new jobs. We would cooperate with the local employment administration and when possible, would try to offer new positions in other Fazer bakeries.”

The Oulu bakery is likely to close in the autumn.

Fazer’s other bakeries in Finland are in Vantaa, Lahti and Lappeenranta. In addition, Fazer has 64 in-store bakeries inside grocery stores, where bakers bake every day.

Producing a variety of bakery, ready-to-eat, confectionery and plant-based products, the Finnish company has operations in eight countries and employs more than 15,000 workers.

Photo source: goodnewsfinland.com