Danone to Shut Ochsenfurt Dairy Plant by 2026 Amid German Restructuring
Source: DairyNews.today
Danone said it will close its dairy production site in Ochsenfurt, Germany, by the fourth quarter of 2026 as part of a wider restructuring effort in the region, citing declining consumer demand, low capacity utilisation, and rising operational costs.
The closure will affect around 230 employees. Danone said it will offer social plans, retraining opportunities, and support for redeployment within the company.
“We have grown in an extremely challenging environment and are well positioned for the future,” said Richard Trechman, managing director for Danone DACH. “However, the Ochsenfurt plant is no longer sustainable in the current market context.”
Trechman added that locally produced goods face weaker demand, while high-growth Danone products cannot be manufactured at the site. He expressed regret over the decision, pledging to assist impacted staff in securing new roles within the company.
Danone will consolidate operations at its Fulda site, which focuses on baby formula and medical nutrition and employs nearly 600 people. The company plans to invest further in the facility under its ‘Renew Danone’ strategy to boost efficiency and product specialisation.
The move follows years of underperformance at the Ochsenfurt plant, where capacity utilisation is expected to fall to half of 2019 levels in 2025. Danone cited cost competitiveness and evolving consumer trends as driving factors behind the closure.
The company said it will work with the Federal Employment Agency and local businesses to support job placement and will negotiate a social plan with the works council, including options such as early retirement and bridging pensions.
“We have grown in an extremely challenging environment and are well positioned for the future,” said Richard Trechman, managing director for Danone DACH. “However, the Ochsenfurt plant is no longer sustainable in the current market context.”
Trechman added that locally produced goods face weaker demand, while high-growth Danone products cannot be manufactured at the site. He expressed regret over the decision, pledging to assist impacted staff in securing new roles within the company.
Danone will consolidate operations at its Fulda site, which focuses on baby formula and medical nutrition and employs nearly 600 people. The company plans to invest further in the facility under its ‘Renew Danone’ strategy to boost efficiency and product specialisation.
The move follows years of underperformance at the Ochsenfurt plant, where capacity utilisation is expected to fall to half of 2019 levels in 2025. Danone cited cost competitiveness and evolving consumer trends as driving factors behind the closure.
The company said it will work with the Federal Employment Agency and local businesses to support job placement and will negotiate a social plan with the works council, including options such as early retirement and bridging pensions.
