Nestle to Shutter Skin Cream Plant in Switzerland
September 1, 2017
Responding to a sales slowdown in its Skin Health business, Nestle said Thursday that plans are afoot to close its skin cream plant in Egerkingen, Switzerland, impacting some 190 workers as production is shifted to other facilities.
Reuters reported that Nestle’s decision was driven by high production costs at the site, which was not running at full capacity.
“Production volumes in Egerkingen are and have been very low, resulting in underutilisation of assets and hence additional pressure on manufacturing cost,” a Nestle statement published by Swissinfo.ch said.
Production activities at the site will be transferred to other Nestle plants over the next year to 18 months, the company said.
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