Apetit considers closing its pizza factory
The Finnish food company Apetit is contemplating alternative production locations and models for its frozen pizza production and has initiated restructuring negotiations affecting all staff at its Pudasjärvi pizza factory.
Apetit, a Finnish food company, is exploring alternative production methods and locations for its frozen pizza operations, prompting the initiation of restructuring negotiations that will impact the entire workforce at its Pudasjärvi factory. Currently, this factory employs 21 permanent staff and is responsible for the production of all of Apetit's frozen pizzas. The company’s decision comes amidst concerns over the factory's operational viability and the need for significant renovations and equipment replacements, which are estimated to exceed previous investments made in the facility.
The Pudasjärvi factory recently underwent a major investment of two million euros completed in 2022, aimed at revitalizing its production capacity. However, sales of frozen pizzas have not met the company’s expectations following the investment and the relaunch of its pizza products. This disappointing performance raises questions about the sustainability of continuing operations at this site, leading to the company’s consideration of shutting down the factory and relocating production.
Apetit’s situation reflects broader challenges within the food production sector, particularly in frozen goods, where changing consumer preferences and economic pressures are forcing companies to reassess their operational strategies. The potential closure of the Pudasjärvi facility not only affects the immediate workforce but could also have repercussions for the local economy, highlighting the need for businesses to adapt swiftly in a competitive market environment.