Fazer Invests EUR30m in Its Oat Milling Business
Fazer Group will invest over EUR30m in its milling business, doubling the milling capacity in Lahti, Finland and in Lidköping, Sweden. The global demand for oats is growing rapidly and, with this strategic investment, Fazer is executing its agenda of becoming a leading plant-based player in Northern Europe.
The investment will be equally divided between the mills in Lahti, Finland, and Lidköping. Fazer will build two new mills, which will double the current oat milling capacity of the company. Once the expansions have been finalized, Fazer will be number one in oats in the Nordic countries and one of the leading players in Europe.
“Fazer is aiming to grow in Northern Europe and beyond. Today’s conscious consumers value convenience and well-being, and Fazer’s growth is based on in-depth consumer insights turned into innovative products and meaningful food experiences. The superfood oats are booming worldwide and Fazer will leverage its knowledge in oats further,” said Christoph Vitzthum, president and CEO of Fazer Group.
Milling expertise and research and development related to oats will, in the future, become even more essential parts of Fazer’s strategical objectives, the CEO of the company added.
Doubling the capacity in both mills will also open for new employment opportunities. “There is a fast-growing consumer demand for nutritious plant-based food produced from locally grown raw materials,” Vitzthum stressed.
The investment in oat milling capacity focuses on innovation and sustainable solutions. Earlier this year, Fazer announced an important investment in a xylitol production facility making xylitol from oat hulls.
The plant in Lahti, Finland, was established in 1971 and produces different kinds of grain products, such as flour and flake products and mixes for bakeries and the food industry, including value-added oat ingredients such as oat beta-glucan, oat protein, and oat oil.
Fazer Mills in Lidköping, Sweden, was established in 1981 and produces oat, wheat and rye products.