Artecola's Candelaria unit closes down
15/01/2009
Footwear components manufacturer Artecola has closed down its unit in Candelária, Rio Grande do Sul, which has meant 130 workers will lose their jobs.
The factory had been in operation since 2003 and produced safety shoe uppers for export mainly to Europe. It has become another casualty of the current global financial climate. The company has issued a note explaining the reasons for the closure. It says: "Our clients are not likely to resume purchases at normal volumes in the next few months so we see no alternative but to close the factory down."
Lauro Mainardi, mayor of Candelária, has said that the dismissed employees will be taken on by another shoe factory in the area, which has vacancies in its production lines of moulded footwear.
Artecola's head office is located in the town of Campo Bom and and the company has a unit in Novo Hamburgo.
The company has said that, in spite of the Candelária closure, long- and short-term growth projections are being maintained.
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