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Home - Fazer Opens a New Production in Latvia

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Fazer Opens a New Production in Latvia

Construction of a new bakery of Finnish food group Fazer began in Ogre. Opening is scheduled for September of the next year, 40 new workplaces will be created in Ogre. Most interesting is that a part of the production lines of the company Fazer in Tallinn is moved in this Latvian town, but the Estonian production will be closed in April 2015, work will lose about 95 people. All of this is almost a mirror reflection of the situation in “Aldaris”.

Only in the case of the brewery, on the contrary, a part of the Riga facilities were closed and moved to Lithuania and Estonia. Why did the bakers prefer Latvia, not Estonia, which is usually cited as an example by industrial workers?

-Matter is not in the economics of one or another country, explained the Director of Communications of “Fazer Bakery Baltic” Baiba Gulbe to “Vesti Segodnya”. – It is more modern production in Ogre than in Tallinn, with lots of potential, a lot of areas for development, expansion. The Tallinn production was built in 1994; we need to make large investments in its modernization, to maintain a high level of production. A bakery in Ogre is built in 2007, where is the latest modern equipment.

The company`s production in Kaunas will be expanded as well, but more than 5 million euro will be invested in the Ogre one. According to Gulbe, works are expected to be completed in the spring, but in summer training of the workers will be carried out, because a new enterprise will open in September.

Where do employers plan to find workers? According to Gulbe, it is really one of the largest problems. In spite of unemployment in the country, there is lack of working hands. However, the problem is expected to be solved at the expense of the inhabitants of Ogre and neighbouring regions. An option of migrant workers from Tallinn is not even considered.

Products of a new production will be fully exported to Finland. Sandwich bread has been already delivered there, other one will be delivered as well. However, there are different taste preferences, so the bread will be different, not the one that is for Latvia. At the same time, she said, in the recent years no any baker in the country has became richer, because all earned is invested in production to make it more effective.

However, bakers are not always worth complaining about the growth of everything. Farmers, for example, say that such a low purchase price for grain has not been for a long time. And, then, flour will be cheaper. The company believes that the decline in the price of flour can only somehow balance the rise of prices in other costs.