Sugar group Tereos has agreed to sell a factory site in northern France to fries maker Agristo. Belgian firm Agristo plans to invest around 350 million euros to develop a new factory for potato-based products to replace the existing sugar processing facility.
Cooperative-owned Tereos faced a union and government backlash after the closure announcement earlier this year, with unions blocking some 40,000 tons of sugar inside the factory for weeks. Tereos said its decision to end production at Escaudoeuvres, which will affect 123 jobs, was due to a drop in sugar beet supply from local farmers.
Agristo, which could create about 350 jobs at the French factory, aims to benefit from nearby potato production in northern France and logistical access to southern Europe.
Source: reuters.com