Mondelez International has unveiled plans to invest SFr65m ($77m) in its iconic Toblerone factory located in Bern, Switzerland.
This significant investment will roll out a state-of-the-art production line by the third quarter, aimed at addressing the rising demand for premium chocolate products. Additionally, Mondelez will enhance its chocolate and nougat making facilities, focusing on upgrading site infrastructure and logistics.
Mondelez describes this initiative as one of its most substantial investments in European chocolate over the past decade.
According to Bern facility director Tim Spickenbaum, the site currently produces an impressive average of four million Toblerone products daily. He stated, “We are delighted about the planned modernizations and investments, which will not only enhance manufacturing capacity but also solidify Bern’s position as the home and heart of the triangular brand icon.”
Iain Livingston, president of Toblerone & World Travel Retail, emphasized that the Bern site is where they proudly share their brand and chocolate expertise globally, making it crucial for their growth ambitions in the premium segment.
Mondelez considers Bern to be the “home and heart” of Toblerone. Established in this city in 1908, it produces 90% of Toblerone today. To celebrate its Swiss heritage, Mondelez plans to feature the Swiss flag on Toblerone packaging soon.
In addition to its classic offerings, Mondelez has actively launched original products through a recent partnership with Lotus Bakeries. In March, the snack groups introduced a Cadbury Dairy Milk Biscoff tablet in the UK and Ireland.
The company also announced an investment of nearly 74m zlotys ($18m) for chocolate production in Poland in December.
Nevertheless, the chocolate market faces ongoing challenges. In February, Mondelez CEO Dirk Van de Put predicted price increases of up to 50% for chocolate, driven by elevated cocoa prices.
Moreover, in February, the owner of Cadbury and Milka reported results for the 2024 financial year. While both reported and organic growth increased by 1.2% and 4.3%, respectively, to $36.4bn, volumes declined by one percentage point, with Mondelez implementing a pricing strategy resulting in a 5.3 percentage point increase over the past 12 months.
