Alex Trelinski
FOOD manufacturer Danone is to suspend production at its Spanish plants ‘within 24 hours’ as the unofficial nationwide truckers strike continues to bite.
Danone employs 2,000 staff at four dairy plants and three bottled-water factories.
The multinational operator has warned that if deliveries of whole milk and cream are not restored by Wednesday, then it will pause production.
A company statement said: “If an agreement is not reached in the next few hours, Danone will be forced to make the drastic decision to interrupt the milk collection process and, as a consequence, the production process in its factories and the subsequent transfer of the finished product to the chains of food distribution”.
“This will cause the interruption of the supply of both natural mineral water and dairy products at the national level,” warned the company.
The truckers strike is in its ninth day and has been prompted by rocketing fuel prices.
The government on Monday pledged a €500 million package to help the industry deal with higher costs, which will be unveiled next week.
Despite ministers in Madrid claiming that the industrial action is only among a minority of drivers, it is clearly starting to have a significant impact.
Danone’s production warning follows similar statements from big beer names Heineken, Estrella de Galicia, and Mahou-San Miguel.
Other major companies expressing concern include Ford, Michelin, and Mercedes.
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