BATTLE CREEK, MICH. — A day after Kellogg Co. announced it was discontinuing its operations in Venezuela (Alimentos Kellogg S.A.), authorities within the Venezuelan government reopened the plant.
On May 15, Kellogg said it would shutter its facility in Maracay, Venezuela, that employs approximately 300 people, effective immediately. On May 16, the Venezuelan government stepped in and reactivated the plant, an action that prompted a strong rebuke from Kellogg.
“These actions have been taken without the consent or involvement of Kellogg Venezuela or Kellogg Co.,” Kellogg Co. noted in an emailed statement. “As such, Kellogg is not responsible for the unauthorized use of the commercial names and brands that are the property of the company and will exercise legal actions available as necessary. Kellogg cannot be responsible for the safety, quality or effectiveness of any products that may be produced or commercialized under this takeover.
“We thank the Kellogg team in Venezuela for their commitment and support. Kellogg continues to be committed to Latin America, and we look forward to resuming operations in Venezuela in the future, as soon as the conditions of the country allow it.”
A day earlier, Kellogg issued a statement regarding its decision to close the plant.
“In December of 2016, Kellogg deconsolidated its Venezuela business from the company’s results,” Kellogg said. “The current economic and social deterioration in the country has now prompted the company to discontinue operations. All assets, contractual obligations and legal guarantees have been settled with Kellogg’s employees, suppliers and customers in Venezuela.”
Kellogg has had a presence in Venezuela since 1961, and the market is its second largest in Latin America after Mexico.