Mondelez International, the owner of the Cadbury’s brand, has announced that it is to close its production site in Tallaght in Ireland by the end of 2015 as a results of falling global demand for gum products.
The closure of the plant will reportedly imply the loss of more than 60 jobs. Meanwhile, it is said that a further 160 jobs are to go from the company’s other two Irish plants in Coolock and Rathmore.
Commenting on the moves, Phil Hodges, senior vice president, integrated supply chain for Mondelez International, said: “Our chocolate production costs in Ireland are currently more than twice that of Mondelez factories in other locations, and we have to become competitive if we are to strengthen for the future”.
“Our gum ingredient factory in Tallaght faces too many production cost challenges to be sustainable and, following the development of new, superior technology which is only suited for co-location with a finished gum plant, regrettably we see no alternative to the proposal to close this plant”, he added.
Despite the job losses, Mondelez said it would also invest €11.7 million ($13.0 million) in its Coolock facility to upgrade the plant’s chocolate making technology.
Source: Belfast Telegraph / Irish Times