Fazer will invest 14.4 billion roubles into the construction of a bakery in St. Petersburg

ST PETERSBURG, October 29. Fazer will invest 14.4 billion roubles into construction of a plant for the production of bakery products in St Petersburg. The project was approved at today’s meeting of the investment Council under the Governor of the city.

“The company has applied for a land grant in the 20-22 hectares for the project on construction of a plant for the production of frozen and fresh bakery products in St. Petersburg, with total investment of 14.4 billion rubles”, – said the Chairman of the investment Committee Irina Babiuc, adding that the relevant section was found in the Krasnoselsky district.

According to Deputy Director of Fazer Konstantin Mandelshtam, the project will be implemented in two stages. The first place to build a factory of frozen products worth 6 billion rubles should start in 2016-2018 and the second stage (2023-2025 years) to build a plant for the production of fresh bakery products is worth 8.4 billion rubles. the first stage Capacity will amount to 35 thousand tons per year, the second – 100 thousand tons.

Fazer Group is an international family owned company offering bakery and confectionery products, as well as providing catering services in restaurants and cafes. Fazer operates in eight countries and exports products to more than 40 countries. In Russia, net sales in 2013 amounted to 14.7 billion rubles, and by the end of 2014 is 12 billion

In St. Petersburg they own production facilities in two districts. In the summer of 2014 Fazer for the first time announced his intention to move production to other sites and to repurpose the Vasileostrovsky bakery. An area of 6.4 thousand square meters, located on Vasilievsky island, belongs to the industrial zones. The owner would like to change the functional purpose of the territory, in order to lead cultural and business development.

Initially, city officials did not support the proposal. The refusal was connected with the fact that the government of St. Petersburg intends to maintain and develop the industrial potential of the city.