Marine Harvest Norway has to cut costs.
2nd May 2003
The Norwegian newspaper Adresseavisen reports that Marine Harvest Norway has to cut costs. This could have consequences for the salmon processing factory at Frøya, Mid-Norway; the company’s isn’t ruling out closing the plant.
External advisors have, for the past month, analysed Marine Harvest Norway and suggested cost cuts in several areas. Marine Harvest Norway had a deficit of NOK 221 million (€28.3 million) in 2001; although last year’s accounts have not been presented as yet, the result could be equally as disappointing
Marine Harvest Norway’s MD, Marit Solberg, confirmed to Adresseavisen that cost-saving measures would affect activities at Frøya.
“Changes are likely, but the exact nature of the changes is not yet determined,” she said. “The industry is in the midst of a difficult period and we have no other alternative than to rationalise activities in order to maintain our competitive ability in Norway.”
Discussing both processing at Frøya and the slaughtering structure in Western Norway, Solberg added: “We are evaluating many cost-saving initiatives, but I prefer to not offer anything more definite until the process has been concluded in a month’s time.”
A year ago, the closure of Marine Harvest Norway’s operation in Osen, Mid-Norway, led to 35 redundancies; now 150 jobs could be at risk at Frøya.