Singapore: Oatly to close manufacturing facility

Oatly, the Swedish firm behind the namesake dairy-alternative milk, has announced the closure of a production facility in Singapore as it seeks to lower operational costs in Asia.

Following the closure of the facility, the Asia-Pacific region will be served by European facilities, making use of spare capacity within the Europe & International segment.

The move is intended to support an “asset-light supply chain model”, the company said.

Commenting on the move, Oatly CEO Jean-Christophe Flatin said: “We expect that the action we are announcing today will capitalize on those collective improvements and further strengthen our ability to ensure that we have the right amount of capacity, when we need it, while being efficient with our capital and costs. We also expect the continued simplification of our operations to enable us to sharpen our focus on execution as we drive toward consistent, structural profitable growth and ultimately deliver on our Company’s mission”.

Source: Oatly