When sugar production in Nakskov ends after the 2026/2027 sugar beet campaign, it will not only affect up to 150 jobs at the factory.
The closure will also be felt by local businesses that have supplied goods and services to the sugar factory over the years.
Sugar production supports a wide range of local companies providing everything from transport and maintenance to skilled trades and other services. It is not yet clear how many businesses will be affected, or how much of their business will disappear when production in Nakskov ends.
- The closure will also affect the many local companies that have provided services to Nakskov Sugar Factory. It is important that we also focus closely on them in the coming period in order to address the consequences of the closure, says Mikkel Wesselhoff, CEO of Business Lolland-Falster.
Nordzucker, the owner of Nordic Sugar, has decided to consolidate Danish sugar production at the factory in Nykøbing Falster. The Nakskov site will continue as a packaging and distribution centre, but sugar production itself will end.
Business Lolland-Falster also believes that the affected employees have good prospects of finding new jobs, as unemployment is low and many companies are struggling to recruit staff.
The decision comes against the backdrop of a European sugar market characterised by structural overcapacity and heavily pressured prices. Nordzucker ended the 2025/26 financial year with an operating loss of EUR 226 million, equivalent to just under DKK 1.7 billion. The group has also pointed to two consecutive large European harvests as a major reason for high sugar stocks and low prices.
- Nakskov Sugar Factory has been a major local company operating in a global market. It is a market with a significant surplus of sugar and fierce competition, says Mikkel Wesselhoff.
Nordic Sugar has not disclosed how much of the factory’s annual purchasing is sourced from local suppliers.
