The international food and beverage company Paulig is considering consolidating production under the Santa Maria brand at its Saue plant by the summer of 2027 at the latest.
The potential change would involve shutting down operations in Mölndal, Sweden and relocating production to Saue where Paulig has operated a factory producing spices, salsas and sauces since 1993.
Eveli Lentsius, Paulig’s head of communications for the Baltics, said the change would allow the company to ensure long-term competitiveness by optimizing production capacity and costs and allocating resources more efficiently.
“The aim of this potential change is to strengthen the long-term competitiveness of the Santa Maria brand. Rising production costs have put pressure on our profitability and this change would help us manage growing costs more effectively,” said Lenita Ingelin, senior vice president of Paulig’s brands business area.
Paulig fully owns the Saue plant, unlike the Mölndal facility, which operates in a leased building. Ownership of the Saue site provides greater flexibility for investment and future growth. Closing the spice production facility in Mölndal would affect all 86 employees at the plant, as well as some positions at the Mölndal office — 105 roles in total. The change is planned to be completed by the summer of 2027.
“Unfortunately, this potential change would affect our colleagues working in Mölndal. Our priority is to provide full support to everyone impacted. We will begin negotiations with trade unions in Sweden in accordance with Swedish law,” said Lenita Ingelin.
The potential change would not affect Paulig’s other operations in Sweden. The company employs around 490 people in Sweden and in addition to the Mölndal spice plant, Paulig operates a tortilla factory in Landskrona and a warehouse in Kungsbacka. Paulig’s marketing, development and support functions will also continue operating in the Mölndal and Solna offices. Similar functions at Paulig’s Saue office will continue as usual.
A final decision will be made following consultations with trade unions, in accordance with Swedish law.
Paulig’s Saue factory opened in 1993 as one of the first foreign investments after Estonia regained its independence. The plant mainly produces Santa Maria spices, marinades and salsas. It currently employs 84 people.
Communications head Eveli Lentsius could not say how many new jobs would be created in Estonia if the production consolidation in Saue goes ahead.
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