Shift of New Zealand Production to Australia
| Food Production | Business Operations | Supply Chain Management |
Updated By: History Editorial Network (HEN)
Published: | Updated:
3 min read
The decision to shift Cadbury's production from New Zealand to Australia stemmed from the inability to find a suitable local supplier capable of meeting the required production standards. Mondelez's New Zealand country head, James Kane, indicated that the production of Cadbury products necessitated specific technologies, processes, and skills that were not available among local manufacturers. This transition marked a significant change in the operational landscape for Cadbury in New Zealand, as it meant the complete cessation of local production. The move was officially implemented in March 2018, leading to the consolidation of production activities in Australia. This shift not only affected the local workforce in New Zealand but also raised concerns about the future of local manufacturing capabilities in the region. The impact of this decision extended beyond Cadbury, as it highlighted the challenges faced by local suppliers in meeting the demands of large multinational companies. The reliance on Australian production could potentially lead to increased costs and longer supply chains for New Zealand consumers, as products would now need to be imported from across the Tasman Sea. Furthermore, this shift reflects broader trends in the food manufacturing industry, where companies often seek to optimize production efficiency and reduce costs, sometimes at the expense of local operations.

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