Nestle has announced the closure of its chocolate figurine factory located in Diosgyor, Hungary, which has been operational for over 60 years and produces products for holidays such as Easter, including brands like Smarties, KitKat, and Milky Bar. The decision, reported by Hungary Today, is attributed to a significant drop in demand for these items.
According to information from Hungary Today, the Diosgyor factory is expected to close by the end of this year. Workers at the facility were notified of Nestle’s decision in early July.
The company stated that exports from the Hungarian factory have drastically decreased in recent years, contributing to the factory’s current revenue, which represents less than 3% of Nestle’s overall income and about 0.4% of Hungary’s total production volume.
Nestle to Shut Down Factory in Hungary
In conjunction with plans to cease production, Nestle has begun negotiations to sell the facility. The factory currently employs 220 individuals, and the company emphasized its commitment to retaining as many jobs as possible throughout the process.
The Diosgyor factory has been continuously operational since 1962 and has been part of Nestle since 1991.
