Nestlé has today (Wednesday, October 18) announced that it is proposing to cease operations at its Wyeth Nutrition infant formula factory in Askeaton, Co. Limerick by the first quarter (Q1) of 2026.
The company is also planning to close the co-located research and development (R&D) centre by Q1 2025.
The announcement means that around 542 people working in the facility will now be placed at risk of redundancy.
“We will now consult with all employees and their representative unions,” a spokesperson for Nestlé said in a statement.
Infant formula
The company pointed to “external trends” which have “significantly impacted demand for infant nutrition products in the Greater China region”.
“The number of newborn babies in China has declined sharply from some 18 million per year in 2016 to fewer than nine million projected in 2023,” it stated.
“The market, which had previously been reliant on imported infant formula products, is also seeing rapid growth in locally-produced products,” the spokesperson said.
The company is proposing to transfer the production from Askeaton to two existing factories – Suzhou, China and Konolfingen, Switzerland.
Konolfingen is also home to Wyeth and Nestlé Nutrition’s global R&D centre of excellence for infant and maternal products.
It is proposed that R&D work at Askeaton would be absorbed into Konolfingen, where 365 staff work on research and product development across several disciplines.
A satellite R&D centre in Shanghai would be strengthened as part of the plans.
The company stated:
“These proposals have been carefully considered and are no reflection on the excellent contribution made by our employees in Askeaton over many years.
“To date, we have not been able to find a buyer. Therefore, we will commence a meaningful consultation process with our employees on a proposed closure.
“In parallel, during this consultation we remain open to approaches from a credible buyer,” the Nestlé spokesperson said.
Wyeth Nutrition
The facilities in Co. Limerick were part of Nestlé’s acquisition of Pfizer Nutrition in 2012.
Operating as Wyeth Nutritionals Ireland Ltd (WNIL), the factory manufactures infant formula products exclusively for export to markets in China and Asia.
The factory currently employs 491 people, while there are 51 staff at the R&D facility.
In a statement this evening Minister for Enterprise, Trade and Employment, Simon Coveney said his first thoughts are with the Wyeth workers and their families.
“It is hugely disappointing news as this facility has provided fantastic employment in Limerick and made a huge contribution to Ireland’s economy.
“Officials in my department will now begin a process of engagement with the management and workers in the company.
“The full range of state supports will be made available to the employees, and we will examine each and every option to ensure that the best possible outcome is reached for all concerned,” he said.