VANTAA, FINLAND — Fazer Group will close its baking plant in Oulu, Finland, later this year. The bakery announced the closing after experiencing decreased packaged bread sales and increased in-store bakery purchases.
Producing a variety of bakery, ready-to-eat, confectionery and plant-based products, the Finnish company has operations in eight countries and employs more than 15,000 workers.
Fazer said it will begin altering its operating strategy to support in-store sales.
“The in-store bakery business is growing,” said Markus Hellström, managing director, Fazer Bakery Finland. “In Finland, we now have 64 in-store bakeries employing 450 people. In 2021, we estimate to have 100 in-store bakeries with 600 employees. At the same time, we must adjust our business as prepacked bread is bought less.”
In addition, Mr. Hellström, noted that material and energy costs to produce the bread have risen, making the product less profitable than in the past.
The bakery will work with the 83 Oulu staff members to find new jobs at other Fazer plants located in Vantaa, Lahti and Lappeenranta.