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Inside Potatoes

'Cosun members don't notice anything about the Aviko factory closing'

7 November 2018 - Niels van der Boom

Potato processor Aviko announced on November 6 that it would close its factory in Oberdolling, Germany, 4 years after the takeover. The company sees no future for local potato products in Bavaria. According to Bert-Jan Loman, general manager, the decision has no consequences for the parent company: the Cosun cooperative.

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In 2014, Aviko took a majority stake in the Amberger factory, where local specialties are produced and marketed under the Feldmühle brand. In 2017, Aviko purchased the remaining shares from the Amberger family. A 3-year plan was drawn up to take the factory to a higher level, for which significant investments were made.

After just 2 years, Aviko pulls out the plug out. In their own words because the projected improvements were far from reality. Loman, who has been responsible for this factory since 2017, can give a reason for this: "The situation was different at the beginning of 2017. The insights at Aviko were different, partly due to reports from the then owners. Direct management under the responsibility of Aviko has led to a revision of the goals."

No noticeable effects
The processor does not want to say how much Aviko bought the shares for and how much the total investment program cost. "We make no statements about investments made and results," says Loman. In his opinion, members of Cosun, which includes Aviko, will not notice the closure. "The scale of the activities is such that it is not expected that members will notice anything. The members' council has been informed in advance about the decision in accordance with the usual procedures."

Aviko says it has investigated a number of scenarios to (partly) continue its activities, including sale of the factory, restructuring or downsizing. These did not deliver the expected stable future. The factory, which is centrally located in the village of Oberdolling, and a distribution center further away are being sold.

Aviko is still looking for a solution for its 150 employees. A core team will continue to work this year. It is not possible to transfer personnel on a large scale to the Aviko chip factory (in nearby) Rain.

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