The decision will affect some 100 employees, and comes approximately ten months after Orkla relocated its Craiova ketchup and mustard production to the central Romanian town of Covasna, in order to raise productivity and the efficiency of operations. Only margarine was to continue to be produced at Craiova.
When contacted by Business Standard, company officials said that the measure was taken because the current location, inside the city of Craiova, no longer allows for normal industrial activity or further development of the factory, namely new European standard products. Thus, in the medium and long-term, maintaining the plant would generate high and unjustified costs.
OFR posted a 10 percent increase in net sales in 2008, from the €30 million registered in 2007. According to company officials, Orkla Foods Romania is leader on the ketchup segment. The Orkla group, with net sales worth €7 billion, is operating in several fields, including consumer goods, special products, chemicals, and financial investments.
