Investor fails to restore operations at Romania's sugar factory Bod

Local entrepreneur Mihaela Neagu, who in 2022, through the investment vehicle Best Achiziții, took over the ailing sugar factory Bod in Brasov county (central Romania), reportedly failed to restore operations at the facility and will use the land for a real estate project instead, according to Economica.net quoting representatives of the National Federation of Food Industry Trade Unions - Sindalimenta. Romania imports some 75% of the 500,000 tonnes of sugar it consumes.

In turn, Neagu claimed that her business is private and, therefore, subject to her own decisions, but explained that not opening the factory was due to the lack of raw material. Austrian group Agrana also closed one of its Romanian factories, she said.

"I bought the factory in 2023. It had not been operating since 2019, that is, for more than 6 years. We waited 2 years to see if sugar beet production would recover in Romania and if it made sense to invest and restart the factory. Last year, as is known, Agrana closed a factory, the one in Buzău, so it is clear that there is no interest in this crop," Neagu commented.

Sindalimenta accuses Neagu of actually not even attempting to restore operations at the factory.

According to the Federation, Neagu imported sugar from Ukraine and packaged it at Bod in bags with the factory's label, misleading consumers.

Zahar Bod, a 133-year-old sugar factory in Romania, announced in November 2022 plans to resume production in 2023.

Currently, there are only two sugar factories in Romania: one owned by the Austrian group Agrana in Roman and another one owned by Mihaela Neagu in Ludus.

(Photo source: Erik Tatevosian/Dreamstime.com)