Food Kellogg unexpectedly abandons operations in Venezuela under economic crisis: Clorox, Kimberly Clark and General Motors left the country in recent years in a similar way
US food company Kellogg's on Tuesday ceased operations in Venezuela, where its plant woke up surprising employees, according to a statement and local media reports.
"We inform that Food Kellogg Venezuela has been forced to cease operations in the country with effect from today, Tuesday, May 15, 2018", the text states.
In 1961 Kellogg's inaugurates its plant in Venezuela located in Maracay, Aragua state, currently employs more than 550 people and produces 75% of ready-to-eat cereals that are sold in the country. Venezuela, after Mexico, is the second most important market in Latin America for Kellogg and its brands: Choco Krispis, Pops, Corn Flakes, Müsli, Nutri-Grain and Zucaritas.
Clorox, Kimberly Clark and General Motors left the country in recent years in a similar way, overwhelmed by the recession that persists for five years and the first hyperinflation that Venezuela is experiencing.
Others, such as Coca Cola and Colgate, have temporarily ceased or cut back their operations.
The Brazilian company Suramericana de Soplados, which supplied gasoline tanks to the Ford Motors and Chrysler vehicle assemblers of Venezuela, also left the country.
It is the sad reality of the Venezuelan private company, a "business diaspora" that leaves workers and Venezuelans without food.
This further increases the unemployment rate and food shortages.
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