Germany’s second-largest sugar refiner Nordzucker mentioned it might shut its sugar manufacturing facility in Slovakia on the finish of the present manufacturing season as Europe’s sugar market stays depressed.
The positioning at Trencianska Tepla in Slovakia will nonetheless be used as a industrial logistics hub. About half of the 180 jobs on the manufacturing facility might be lower, a Nordzucker spokesperson added.
“This choice is the corporate’s response to a difficult market surroundings and the long-term decline within the profitability of beet sugar manufacturing on the Trencianska Tepla website,” Nordzucker mentioned.
The corporate didn’t disclose the capability of the manufacturing facility being closed. It has different sugar manufacturing factories in Germany, Denmark, Sweden, Finland, Lithuania, Poland and Australia.
Nordzucker warned on 15 January it might swing to an annual working loss on depressed EU sugar costs which are hitting producers throughout the European market and mentioned it might search price financial savings.
Low Sugar Costs
Germany’s largest sugar producer Südzucker additionally mentioned in January that low sugar costs would strain earnings, whereas France’s Tereos reported a plunge in first-half income in November.
EU sugar costs are round four-year lows and world costs are close to five-year lows, with Reuters reporting European producers are asking farmers to chop sugar beet plantings.
“We’re taking this choice with a view to the longer term and out of a way of accountability for the long-term stability and profitability of our firm,” mentioned Nordzucker CEO Lars Gorissen.
The depressed sugar market, with overcapacity and low margins, meant Nordzucker launched a complete bundle of cost-saving measures in 2025 and supplemented it in 2026.
The corporate mentioned it meant to safe its long-term profitability by its personal efforts.
