Mars is moving forward with plans to close its Ben’s Original factory in Belgium, jeopardizing approximately 80 jobs.
In a statement released, the US company unveiled its intention to undertake a “collective redundancy” at the facility located in Olen by the end of next year.
Mars, which has been operating in Belgium since 1962, attributed its decision to economic factors, highlighting a “sharp decline in production volumes” alongside a “sharp rise in costs.”
These factors led to “underutilisation of the plant,” significantly impacting efficiency.
The facility primarily produces Ben’s Original rice. If the closure occurs, Mars intends to collaborate with an external manufacturer for product supply in Europe.
“We are not taking this announcement of the intention to close and lay off employees lightly. Our priority now is to conduct a constructive and transparent information and consultation process,” the privately-held company stated.
Mars employs over 700 individuals in Belgium and operates two offices, including the global headquarters for Mars Petcare, a diagnostic laboratory, several veterinary clinics, and the Olen factory.
This proposed closure coincides with the company’s plans to invest €1 billion ($1.16 billion) in production and R&D through 2025 and 2026 across various regions, including France, Poland, and Spain.
In September, Mars expressed its ambition to build “a stronger, more resilient business in Europe.”
Additionally, Mars is in the process of acquiring Kellanova, a global snacking company, for approximately $36 billion and is awaiting the EU’s decision regarding this acquisition.
