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P&G opens Gillette production facility in Poland

By Simon Pitman , 09-Aug-2006

P&G has confirmed that its new manufacturing centre for Gillette blades and razors, also incorporates packaging and warehousing operations, opened last month in Lódz, Poland and is now ready to assume full production.

Costing a total of €120m, the investment has been supported by the Polish government as part of its move to attract more international businesses to the country.

Occupying an area of 92,600 square meters, it is the largest Gillette blades and razors operations facility in the world and will produce 1.5 billion units annually that will be exported worldwide.

It will employ approximately 2000 people when fully operational by the end of the year, making it one of the largest employers in Lódz. As Poland currently has one of the highest umemployment rates in Europe, running at more than 15 per cent, the move has been well received by the city.

The facility comprises three separate operations, which include a production building, a packaging unit and a warehouse, with each section being run concurrently but as separate businesses.

The manufacturing unit will produce cartridges for several shaving systems as well as disposable razors and will be run by Gillette.

The packaging unit will be managed by a third party and will package products manufactured in Europe as well as selected global locations, while the warehouse will also be managed by a third party, distributing the packaged goods to retail customers in Poland, throughout Europe, in the Middle East and Africa.

The facility is P&G's second major manufacturing and packaging facility in Poland. The company has operates a Pampers baby diapers factory in Warsaw - the third largest P&G Pampers factory in the world, employing over 600 people.

"The Lódz facility joins the P&G factory and campus in Warsaw - demonstrating our belief in and commitment to this country and this region," said Werner Geissler, P&G group president for the region.

P&G follows a string of cosmetic companies and related packaging companies to have set up production facilities in the country recently.

Last month Rexam opened up a production facility for beauty packaging, also in Lódz, while Norwegian beauty packaging player Polimoon acquired Lima-Pol Polimoon, a manufacturer cosmetic jars and bottles back in December.

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