Krupskaya, the Russian confectioner owned by Norwegian food group Orkla Brands, wants to move its flagship production site from the centre of St Petersburg to the outskirts of the city.
The company wants to consolidate its production in the city into a single site with double the production capacity due to logistical issues.
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Krupskaya operates a plant with a capacity of 20,000 tonnes in central St Petersburg as well as rented facilities elsewhere in the city following a recent acquisition.
A spokesperson for the company said the confectioner is planning to build a new site with a capacity of 45,000 tonnes, although the exact location of the facility has yet to be confirmed.
“We have only received the decree from the city that has provided the land for a land survey,” the spokesperson told just-food today (16 February).
The relocation plan will cost Krupskaya, which accounts for around 3% of confectionery sales in Russia, some EUR60m (US$81.9m).
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