£75million investment opportunity for historic Bournville site
Mondelez International says investment will reinforce Bournville's position at the heart of the British chocolate manufacturing industry
27 January 2014
Mondelez International recently announced £75m of potential new investment for the Bournville manufacturing site in Birmingham, with the aim of securing the next generation of chocolate manufacturing at Bournville.
According to media reports, the investment in new production line machinery will lead to some job losses although an exact number was not revealed.
The company issued a press release which stated: "This investment in four state-of-the-art new lines will reinforce Bournville’s position at the heart of the British chocolate industry, making it the best place in the world for the production of chocolate bars like Cadbury Dairy Milk. It will also modernise and improve the site’s capability in manufacturing iconic assortments brands like Cadbury’s Roses and Heroes – the first significant new investment in assortments manufacturing for 30 years."
Mondelez said last week that the £75 million investment would be dependent on a successful conclusion to the company’s employee consultation being announced. This consultation was to focus on improving capabilities, reducing costs and changes to ways of working that, combined with the investment, would help to close the competitiveness gap between Bournville and its competitors as well as sister factories in Germany and Western Europe.
Unite, Britain’s biggest union, welcomed the news of the £75 million investment, to be released over three years.
Unite national officer, Rhys McCarthy said: "This investment is good news and the union has been working with Cadbury to get the best deal possible for workers during this restructuring. It is yet another example of success when unions and employers work together in the manufacturing industry.
"The company has poured in £33 million of investment over the last two years and now it is pouring a further £75 million into Cadbury. Cadbury is creating four brand new assembly lines with brand new equipment. This investment should help the company compete more effectively which in turn will boost job security for over 3,000 workers across the UK."
Neil Chapman, manufacturing director chocolate UK, said: "Bournville has a proud manufacturing heritage and we are committed to ensuring it continues and becomes a world class manufacturing site."