WELLINGTON Feb 16 International food giant
Mondelez International Inc said on Thursday it plans to
shut its Dunedin Cadbury factory and shift production to
neighbouring Australia, which takes most of New Zealand's
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 percent 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 centre "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.
(Reporting by Charlotte Greenfield; Editing by Stephen Coates)