Meggle stays in Kragujevac - German dairy company builds new facility and has long-term plans in Serbia

Source: Danas Thursday, 15.10.2015. 13:01
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In certain hypermarkets in Kragujevac as well as local circles, one could have heard an allegedly reliable information these days that the German company Meggle has sold Kragujevac-based Mlekara dairy to another investor and that is leaving Serbia.
However, the management of this dairy company denies that Meggle is leaving Kragujevac. Meggle Serbia General Manager Aleksandar Nedeljkovic claims in a written statement to the daily Danas that "it is not true that Meggle is withdrawing from Serbia" and that "the company operates and has long term plans in Serbia".
Danas writes that its sources in Meggle Serbia confirm that this company in Kragujevac is working at full capacity and that the implementation of serious investment in the improvement of business is underway.
- A new facility that should ensure a higher production capacity is under construction. About 140 workers are working on it, and they are all paid decent wages on a regular basis. We had to downsize in late 2014 and early 2015, but a number of new workers was hired after the production had grown and the product portfolio got expanded. This dairy company processes over 100 tonnes of milk a day, selling tens of dairy products in Serbia, Montenegro and Bosnia-Herzegovina - says Danas' interlocutor.
After an unsuccessful privatization attempt, the dairy company Mladost from Kragujevac was acquired in late 2000s by Belgrade-based Silbo which signed an agreement with Meggle on the privatization of Kragujevac-based factory in December 2010.
Mladost was formally taken over in mid-March 2011 and it was renamed to Meggle Serbia as early as July 2011. Germans have invested few million euros in the reconstruction and modernization of the dairy in Kragujevac.
Meggle was estalbished in 1877 and is one of the largest manufacturers of milk and dairy products in Europe. It processes around 750 million liters of milk a year and has in excess of 2,600 employees in production facilities around the world.
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