When Nordic Sugar ends sugar production in Nakskov after the 2026/2027 sugar beet campaign, Nykøbing Falster will become the centre of the company’s Danish sugar production.
However, despite the consolidation, no additional investment in the Nykøbing factory is planned.
According to Nordic Sugar, the site already has the necessary capacity. If production needs to increase, the company will instead make better use of the existing facilities and, if necessary, extend the beet campaign.
- No additional investment in Nykøbing will be required as a result of the decision. We already have the capacity, and if we need to produce more, we can extend the campaign, says Jannik Olejas, Managing Director of Nordic Sugar Denmark.
The decision comes at a time when Nordzucker, the owner of Nordic Sugar, is under considerable financial pressure. The group 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 large European harvests, falling sugar prices, high energy and raw material costs, and declining sugar consumption.
According to Jannik Olejas, overcapacity is the main reason why production in Nakskov is now being discontinued.
- We have more factories and more capacity than we need, both now and in the future. By consolidating production, we can make better use of the capacity in Nykøbing, says Jannik Olejas.
Up to 150 jobs will be affected when production in Nakskov ends after the coming campaign. The factory will continue as a packaging and distribution centre.
- This is a strategic decision with the long term in mind. Prices go up and down, but our facilities still have to be operated and maintained, and that costs money. If we can produce the same amount with one fewer factory, that is positive for the business, says Jannik Olejas.
It has not yet been decided whether the consolidation of production will lead to more employees in Nykøbing.
