Stock Spirits Group will close its Baltic Distillery ethanol plant in Dettmannsdorf, near Rostock, Germany by the end of 2024.
This strategic decision of the Group results from Stock Spirits Group’s focus on sustainability and Baltic Distillery’s lack of price competitiveness in the spirit market. The Group is focused on delivering on its sustainability commitments, while Baltic Distillery is unable to meet these high standards and is responsible for the majority of the Group’s CO2 emissions. Moreover, cost of production at Baltic Distillery is significantly higher than market prices. After a thorough evaluation of available options, the Group concluded that upgrading the facility and switching to carbon-neutral energy sources, would not be cost-effective and no other viable alternative to closing the plant was identified.
Baltic Distillery employs 35 people. Stock Spirits Group highly values the long-term commitment and dedication of all staff and will provide support and assistance to all affected employees. The company has prepared an additional support package, including severance payment offers and professional outplacement services.
The closure of the plant will be conducted in stages. The production will be fully stopped by the end of 2024. After that date, a reduced number of staff will remain at the plant to provide safety, security and logistics. The final stage will be the dismantling of the facility in 2025.
Baltic Distillery was acquired by Stock Spirits in 2012.
