Henkell Freixenet is moving production of its Hubert J.E. sparkling wine business out of Slovakia to neighbouring Czechia.
The German sparkling wine major told Just Drinks the brand was “changing its production set-up in Slovakia” and would “join forces” with its Czech sister business Bohemia Sekt.
A statement on Hubert’s website on Friday (18 September) said the group was closing its production site in Sered’ in southern Slovakia by the end of this year.
Manufacturing of Hubert’s sparkling wines will be moved to Bohemia Sekt’s production sites in the Czech towns of Starý Plzenec and Mikulov.
“The decision was made on the basis of a thorough analysis and its aim is to strengthen the long-term competitiveness of the group’s business across the region”, Hubert said in its statement.
“Consumer behaviour is changing and despite high investments in recent years, the company has not been able to fill production capacity and ensure economically sustainable production in the long term.”
The move will impact roughly 60 jobs, “gradually in two stages”.
Some workers will be given jobs at other facilities in the group. The business said it has also met with unions and the works council to discuss “support measures” for affected staff, “who will receive an above-standard compensation package”.
Henkell Freixenet told Just Drinks: “The new production set-up is intended to strengthen Hubert J.E.’s long term competitiveness and create a solid foundation for the future development of its business in Slovakia, while ensuring the continued production and availability of Hubert products in the market.
“As Slovakia’s leading sparkling wine brand, Hubert J.E. remains firmly committed to the Slovak market.”
Hubert’s sales and marketing activites will still be “managed” in Slovakia, “ensuring distribution and product availability with the same great quality for Slovak consumers”, the Mionette brand owner added.
Founded in 1825, Hubert J.E. produces a range of sparkling wines including, red, white, dry and semi-sweet variants.
The business became part of the Henkell & Co. Sektkellerei in 2000, which eventually became Henkell Freixenet in 2019 when it renamed itself to mark its majority purchase of the Spanish cava producer Freixenet.
“Henkell moves production of Slovakia’s Hubert brand to Czechia ” was originally created and published by Just Drinks, a GlobalData owned brand.