EventsEventsPodcasts
Loader

Find Us

ADVERTISEMENT

Sweet deal as Haribo plans multi-million investment in German factory

Haribo gummy bears sit in their package in Berlin, Germany, Friday, 24, 2017.
Haribo gummy bears sit in their package in Berlin, Germany, Friday, 24, 2017. Copyright Markus Schreiber/Copyright 2017 The AP. All rights reserved.
Copyright Markus Schreiber/Copyright 2017 The AP. All rights reserved.
By Eleanor Butler
Share this articleComments
Share this articleClose Button

The sweetmaker will invest in a plant in the north west of Germany to produce Maoam and fruit gum products, says Handelsblatt newspaper.

ADVERTISEMENT

Haribo is in talks with officials in the German city of Neuss regarding the purchase of a 14-hectare site where it hopes to build a new plant.

The factory is intended to replace a Haribo facility already in the area, said operations head Markus Riegelein, interviewed by Handelsblatt.

The new factory will be twice as big as the previous one, which cannot be expanded at the current location.

Speaking of the present facilities, Riegelein remarked: "We cannot meet demand."

Haribo is planning to invest €300 million in the new factory, with construction expected to start in 2025, and production earmarked to commence in 2028.

A further 100 employees are to be added to the current 350 staff members already in Neuss.

When deciding upon the location of the new factory, Riegelein told Handelsblatt that staying local was a priority.

Haribo was created in Bonn, an hour's drive from Neuss.

Maoam, a sweet produced by Haribo, also began as a separate brand, created in the city of Düsseldorf just opposite Neuss, across the River Rhine.

In spite of relatively high labour and energy costs, "it is still possible to produce competitively in Germany,”" said Riegelein.

An index of German business sentiment, released by the Ifo institute on Monday, showed that companies' morale remained constant in May.

Industry, trade and construction sectors show slow signs of recovery, while service providers are suffering a setback.

Last year, Germany's GDP declined by 0.2% (adjusted from 0.3%) as industries were hit with elevated fuel costs, sparked by Russia's invasion of Ukraine.

Businesses have also been lobbying for a reduction of red tape as a means to boost productivity.

Share this articleComments

You might also like