The ready-to-eat cereal manufacturing plant at London, Ont., is set to close by the end of 2014, according to the Kellogg’s company press room. The plant employs about 500 people. This announcement is the second of its kind for Ontario’s food manufacturing industry, as Heinz announced the closure of its ketchup plant in Leamington last month.
Dubbed as changes to “optimize its global manufacturing network,” Kellogg’s rolled out its Project K, a four-year “efficiency” program that will see the closure of a snacks plant in Australia in addition to the London, Ont., plant, but will see the expansion of the Thailand cereal and snacks plant.
According to the company, “Kellogg is strengthening its existing business in core markets, increasing growth in developing and emerging markets, and driving increased value-added innovation.”
“As with any project of this scope and one that impacts people, these are difficult decisions,” said John Bryant, President and CEO, Kellogg Company. “We are very mindful of the impact these changes will have – particularly to our employees. As our employees and others would expect from Kellogg, we will help those who are impacted through their transitions.”