Scotbake to close due to high production costs

In a strategic move aimed at streamlining operations amidst rising production costs, Inverness-based company Scotbake has announced the discontinuation of its bakery production, effective July. The decision will regrettably result in the loss of 12 positions within the organisation.

Managing Director Derek Smith expressed the challenges leading to this difficult resolution, citing mounting pressures from escalating energy expenses, ingredient costs, and heightened labor expenditures, all of which have significantly impacted the profitability of the bakery division.

In an effort to optimise resources and refocus business endeavors, Scotbake will prioritise its distribution and dispatch services, ensuring the continuity of over 40 positions within the company.

Smith lamented the necessity of the closure, emphasising the regrettable impact on affected employees. He affirmed the company’s commitment to mitigating job losses while steering its operations towards sustainable growth and efficiency.

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International Bakery

Media contact

Joseph Clarke
Editor, International Bakery
Tel: +44 (0) 1622 823 920

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