Barry Callebaut has signed a Memorandum of Understanding with the government of Serbia and the city of Novi Sad to construct its first chocolate factory in Southeastern Europe.

The facility will be located in Novi Sad, Serbia, about 90 km northwest of the country’s capital Belgrade, and is planned to have an initial annual production capacity of over 50,000 tonnes.

Total investment volume over a period of five years is projected to amount to €50 million (CHF56.7 million). The factory is expected to be operational by 2021.

Antoine de Saint-Affrique, Chief Executive Officer of the Barry Callebaut Group, said: “The company has been very successful in Southeastern Europe over the past few years. Novi Sad is, we believe, the perfect location as it is the second largest city in Serbia, has a reputable university and thus offers access to the resources we need to realize our plans. The factory will serve as a regional hub from which Barry Callebaut can address the rapidly growing chocolate markets of Southeastern Europe.”

Aleksandar Vučić, President of Serbia, said: “We are very happy and proud to welcome an export oriented market leader into Serbia’s food industry. Not only will Barry Callebaut bring state-of-the-art technology and expertise to our country but also investments and employment for our people. Serbia will do its utmost to make this a success.”