Business World

Mondelez Internatio­nal to close New Zealand Cadbury factory

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Internatio­nal food giant Mondelez Internatio­nal, Inc. said on Thursday it plans to shut its Dunedin Cadbury factory and shift production to neighborin­g Australia, which takes most of New Zealand’s chocolate output. Staff were being consulted about plans to cut 250 jobs in the South Island town this year and another 100 in 2018, the company said in a statement. It was cheaper to use existing capacity in Australian factories to produce chocolate, given about 70% of the Dunedin factory’s output was shipped to Australia anyway.

WELLINGTON — Internatio­nal food giant Mondelez Internatio­nal, Inc. said on Thursday it plans to shut its Dunedin Cadbury factory and shift production to neighborin­g Australia, which takes most of New Zealand’s chocolate output.

Staff were being consulted about plans to cut 250 jobs in the South Island town this year and another 100 in 2018, the company said in a statement.

It was cheaper to use existing capacity in Australian factories to produce chocolate, given about 70% of the Dunedin factory’s output was shipped to Australia anyway.

“We’re focused on becoming globally cost-competitiv­e through increased production and investment in larger sites, while reducing costs,” said Amanda Banfield, Mondelez vice-president for Australia, New Zealand and Japan.

About 130 New Zealand office staff in Cadbury’s commercial and finance operations would be unaffected.

The eighty- year- old factory site would continue to host chocolate-themed tourist center “Cadbury World.”

Mondelez, a spin- off from Kraft Foods, in January announced it was selling iconic Australian spread Vegemite to Bega Cheese to focus on brands like Cadbury Dairy Milk, Oreo Biscuits and Philadelph­ia cream cheese. —

 ??  ?? THE LOGO of Mondelez Internatio­nal is pictured at the company’s building in Zurich Nov. 14, 2012.
THE LOGO of Mondelez Internatio­nal is pictured at the company’s building in Zurich Nov. 14, 2012.

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