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Arabia
Baby milk factory hit closes. 800 Soodies laid off.
2006-01-30
Arla Closes Saudi dairy.

As the list of countries boycotting Arla grows, the dairy is forced to halt operations in Saudi Arabia

An Arabic boycott of Danish products has forced Danish-based dairy Arla Foods to close its plant in Riyadh.

Arla is one of the largest international dairy food producers in the world and it has over 800 employees in Saudi Arabia.

Sales in Arabic countries have ground to a halt as the boycott spread from Saudi Arabia and Kuwait to states throughout the Middle East and North Africa, forcing the company to stop production.

Arabic countries are boycotting in protest over Denmark's reaction to newspaper Jyllands-Posten's publication of 12 cartoons in September, an act considered blasphemous by Muslims.

The majority of Arla's employees in Saudi Arabia are local hires. None risk losing their jobs for the time being, nor have any of the company's Danish workers been withdrawn.

Three dairies in Denmark are also affected by the strike, but Arla officials said it was still too early to say if any Danish employees would be laid off as a result.

Over the weekend, two Arla employees were injured in separate events when their trucks were attacked. The employees, both Arabic, were said to be shaken, but escaped unharmed.



Posted by:Besoeker

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