After Mumbai & Chennai, Britannia closing down Kolkata factory
Britannia Industries, known for popular biscuits like Treat and Good Day, will soon close down its factory in Kolkata’s Taratala.
The factory, established in 1947, is one of the company’s oldest and historically significant production units in India. It currently makes biscuits under the Good Day, Milk Bikis and Cream Cracker brands.
The company cited “economic viability issues”, indicating a lack of cost efficiency, as the reason for the closure.
The closure decision follows the recent shutdown of Britannia’s older factories in Mumbai and Chennai, suggesting a strategic shift within the company.
In 2016, the company had indicated its plans for a second unit in Bengal with an intent to commence operations by 2018. In 2018, Britannia Chairman Nusli Wadia announced at the company’s annual general meeting in Kolkata plans to invest Rs 300-350 crore in a new facility in Bengal.
But that plan did not materialise even as the company had scouted for locations in the state.
The Taratala factory has been the key centre for manufacturing, planning, logistics and sales in the eastern region, where plants are also located in Bihar, Odisha and Assam. In the state, Britannia also operates a contract manufacturing unit near Dankuni.
Bengal is Britannia Industries’ third-largest market, generating over Rs 900 crore in revenue.
The closure of the Taratala unit will affect approximately 150 employees. Sources said that the company has offered voluntary retirement scheme (VRS) packages to all the affected workers, which they have accepted.
