Haribo invests £92m in new Yorkshire factory

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The £92m Haribo Castleford site

The new site will be in Castleford, Yorkshire

Haribo has today (10 October) announced it is investing £92m in a new factory in West Yorkshire.

The 30,700 sqm facility in Castleford will employ almost 300 people and produce 48,000 tonnes of confectionery a year, including brands such as Tangfastics and Starmix. It is due to be completed in April 2015, with the first two production lines operational later that year.

The business will also continue to operate its facility in Pontefract, which employs 540 people, but said the site was operating close to capacity and that the new factory would help it meet growing demand for its products.

Sales of the Haribo brand have grown 10.5% in the past year to £150m [Nielsen 52w/e 14 September 2013].

“This new site will allow for progressive expansion, enabling us to continue to extend our offering and develop new and innovative products,” said Haribo managing director Herwig Vennekens.

“Haribo has performed extremely well within the UK market during the last 12 months, and over the last six years it has experienced double digit growth year-on-year.”

The government has supported the construction of the new facility with £6.4m from the Regional Growth Fund, which helps companies create sustainable private sector employment.

“While our new factory marks a major investment for our company we are pleased our vision has also been supported by the Government’s Regional Growth Fund, without which our plans would not have been realised,” added Vennekens.

Business secretary Vince Cable, who is to visit the site of the new factory today, described the development as a boost for the region, adding: “The growth fund is supporting firms across the country to expand.”

Haribo first came to the UK in the early 1970s when it purchased shares in confectioner Dunhills of Pontefract. It acquired the remaining shares in Dunhills in 1994.

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