Nordic meat producer HKScan has announced further changes to its production structure in Sweden, which it says should add around €7 million a year to its bottom line.
Scheduled for completion by the beginning of 2015, the restructuring involves the discontinuation of pig slaughtering and cutting at HKScan's Skara facility, where production of meatballs, hamburgers and other convenience foods will continue.
In a statement released by the company yesterday, HK Scan say that production will now be centralised at locations in Kristianstad, Linköping and Halmstad.
"After a thorough strategic review and analysis of all relevant alternatives, we trust that these changes will ensure far better capacity utilization, a competitive cost base and opportunities for profitable growth. HKScan is strongly committed to developing and investing in the Swedish meat business and value chain", says Göran Holm, spokesperson for HKScan's Consumer Business in Scandinavia.
The restructuring plan will involve a personnel reduction of approximately 140 employments in total, mainly at the Örebro and Skara units.
HKScan currently has approximately 2,460 employees in Sweden.
© 2014 - European Supermarket Magazine by Enda Dowling
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