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British bakery and fast food chain, Greggs, has announced plans to restructure parts of its UK manufacturing network, including the proposed closure of four manufacturing sites and the end of manufacturing operations at a fifth location.
The bakery and food-to-go chain said the proposals follow a review of its manufacturing network aimed at improving efficiency, resilience and capacity as the business continues to expand.
Under the plans, Greggs is proposing to close manufacturing sites in Enfield, North Lakes, Pettigrews and Seaham. Distribution operations at Enfield would remain unaffected.
Manufacturing operations at Treforest would also close under the proposals, although the site would continue to operate as a distribution centre.
Greggs is additionally proposing to reduce the range of products manufactured at its Clydesmill and Manchester facilities, while retaining production at both sites, and to end the manufacture of tinned bread at Gosforth.
Some manufacturing and packing activities would be relocated between sites, while a small number of products could be sourced from specialist external suppliers.
If implemented, Greggs’ manufacturing operations would be concentrated across six sites: Clydesmill, Gosforth, Balliol, Leeds, Manchester and Derby. The company said its retail shop estate would not be affected.
The proposed changes come as Greggs continues to invest in expanding its manufacturing and logistics capacity. Since the beginning of 2024, the company has invested more than £300 million in its network, with the aim of supporting an estate of at least 3,500 shops across the UK.
Greggs has grown from 2,181 shops in 2021 to 2,796 today and currently employs around 33,000 people.
The company said its review concluded that owning and operating its own manufacturing and logistics network remained a key competitive advantage, but that consolidating some activities would create a more streamlined operation.
Greggs will now begin a consultation process with affected employees and union representatives. The company stressed that no final decisions have yet been made.
Roisin Currie, chief executive of Greggs, said: “Greggs is a strong and growing business, and we continue to invest significantly in our future. To continue building a successful business for the future, we must keep evolving alongside changing customer expectations."
“Greggs manufacturing and logistics network remains a key strength of the business, and these proposals are intended to strengthen our manufacturing network, improve efficiency and ensure we remain well placed for the future while continuing to deliver the quality, value and service our customers expect.”
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