Nutrition - Haribo plans to invest 300 million euros in constructing a new facility.
Haribo, the candy manufacturer known for its juicy delights, is planning to invest around €300 million in a new factory in Neuss, North Rhine-Westphalia. This new factory will be the birthplace of their beloved Maoam chewy candies.
The confectionery giant is in talks with the city of Neuss to acquire a massive 14-hectare plot of land, nearly the size of 20 football fields. Construction could start in 2025, with production commencing in 2028. Markus Riegelein, Haribo's Operational Chief, spoke about the project with "Handelsblatt."
Currently, Haribo's existing facility in Neuss has been churning out Maoam candies. However, with a growing demand for these sugary delights, the company needs a larger space to meet the needs of consumers. Also, the existing plant lacks the room for an expansion.
Therefore, they've decided to build a new factory about five kilometers away. They plan to keep the old factory operational for a transition period before shutting it down due to its much smaller size in comparison to the new facility. Their production capacity is expected to double with the new location.
In Neuss, the company employs 350 individuals. With the new factory, an additional 100 jobs are anticipated. Eventually, apart from Maoams, the factory will churn out fruit gum too.
In 2020, Haribo closed a 120-employee plant in Saxony, which led to some backlash. However, the company is moving forward with a substantial investment in Germany. Despite the high wages and energy costs, along with myriad regulatory hurdles, Riegelein told "Handelsblatt": "These are challenges we're willing to accept." After all, stability in framework conditions globally is not certain. "It's still possible to produce competitively in Germany."
The name Haribo is a portmanteau of "Hans Riegel Bonn." For a considerable period, their headquarters were in Bonn. However, in 2018, the company shifted its headquarters to Grafschaft, where it also has another factory next to its facilities in Neuss and Solingen. Internationally, Haribo employs around 7,000 people, of whom about 3,000 are based in Germany. Maoam has been a part of Haribo's family since 1986 when it acquired the chewy candy manufacturer Edmund Münsster GmbH & Co. KG.
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- The new Haribo factory, set to be constructed in Neuss, North Rhine-Westphalia, will primarily produce their popular Maoam chewy candies.
- Haribo, which currently has an existing facility in Neuss that manufactures Maoam candies, is facing demand growth and lack of expansion space, leading to the decision to build a new factory in Rhineland-Palatinate, closer to Neuss.
- With the construction of the new factory, Haribo expects to create an additional 100 jobs in Neuss, besides the 350 employees already working at their local facilities.
- Despite the high wages, energy costs, and regulatory hurdles in Germany, Haribo's Operational Chief, Markus Riegelein, told Handelsblatt that they are willing to accept these challenges, as stability in global framework conditions is uncertain.
Source: www.stern.de
