Sectors Shares
SECTIONS

Venezuela reactivates Kellogg plant after company pullout

(Adds quote from governor, details, background)

CARACAS, May 16 (Reuters) - Venezuelan authorities said they were reactivating a Kellogg Co plant under worker control on Wednesday, a day after the U.S. multinational food producer pulled out of the crisis-hit country.

Kellogg joined a host of other multinationals in exiting Venezuela and later confirmed President Nicolas Maduro's leftist government had taken over its manufacturing plant.

On Wednesday, Aragua state Governor Marco Torres slammed Kellogg and guaranteed food production would continue.

"With no notification, this U.S.-based multinational decided to close its doors, leaving 570 workers hanging," said Torres at the plant, in Maracay.

"Yet, we're here - in less than 24 hours."

Millions in Venezuela suffer food and medicine shortages amid hyperinflation. Maduro blames Venezuela's crisis on an "economic war" that he says is being waged by Washington, greedy businessmen and coup-mongers.

He is expected to win Sunday's presidential election, described by the opposition as a sham.

Clorox, Kimberly-Clark, General Mills , General Motors and Harvest Natural Resources are the most recent big names to pull out of Venezuela in the face of economic conditions.

Opposition critics scoffed that the government would quickly plunder the Kellogg plant and ruin its business. (Reporting by Corina Pons and Vivian Sequera Writing by Girish Gupta Editing by Chizu Nomiyama and Steve Orlofsky)

First Published: 2018-05-16 17:07:08
Updated 2018-05-16 17:47:51


© 2018 Thomson Reuters. All rights reserved. Reuters content is the intellectual property of Thomson Reuters or its third party content providers. Any copying, republication or redistribution of Reuters content, including by framing or similar means, is expressly prohibited without the prior written consent of Thomson Reuters. Thomson Reuters shall not be liable for any errors or delays in content, or for any actions taken in reliance thereon. "Reuters" and the Reuters Logo are trademarks of Thomson Reuters and its affiliated companies.