Friesland Foods Romania relocates production

The company closed another factory earlier this year in the western town of Deta, in Timis County. Company officials indicated that the relocation of operations aims to preserve the factory's efficiency, against a backdrop of higher raw material and energy prices, on the one hand, and rising salary costs on the other, due to competition on the labor market since the country joined the European Union.

The local dairy market amounts to some €800 million and players on the market are expecting this exceed €1 bln in the next few years. The main companies operating on this market are Danone, La Dorna, Friesland, Albalact and Covalact.