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Fazer
Fazer
from Wikipedia

Fazer (Finnish pronunciation: [ˈfɑtser], Finland Swedish pronunciation: [ˈfat͡sær]) is one of the largest corporations in the Finnish food industry. The company was founded by Karl Fazer in 1891, as a "French-Russian café" in central Helsinki.[1] Today, it employs over 6,000 people across Finland, Sweden, Latvia, Lithuania, Estonia, Denmark, Norway and Poland.[2] Its products are exported to more than 40 countries.[2]

Key Information

History

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Fazer acquired Swedish confectionery company Mazetti in 1975, Mazetti started several product lines which are now iconic to Fazer, including Dumle and Tutti Frutti.

Fazer formed a partnership with United Biscuits in its Fazer Keksit (which made biscuits) and UB owned 70 per cent of it until 2000.

Fazer has historically acquired several other companies, including the Finnish Chymos and the Danish Perelly. The confectionery line was merged with its Swedish competitor Cloetta in 2000, to become Cloetta Fazer, though the merger lasted only until 2008 before the two brands were separated back to independent companies.[3] Later, Fazer Keksit was sold to Danone. It was renamed to LU Suomi, the entirety of which was bought back by Fazer in 2012 from Kraft Foods Inc. (now Mondelez International) and now operates under Fazer Confectionery.

Fazer Visitor Centre, Vantaa, soon after opening in November 2016

November 2016 saw the opening of a 5,000-square-metre (54,000 sq ft) Visitor Centre at their confectionery factory at Fazerintie in Vantaa. The avant-gardist building, in the shape of two circles with a botanical garden at the centre of one of them, was designed by K2S Architects. The Visitor Centre also includes a café, congress wing and shop.

In the summer of 2019, Fazer bought the Finnish company Kaslink Foods, which specializes in plant-based foods. According to Fazer, it sought a stronger focus on consumer products through the acquisition and saw growth opportunities, especially in the oat-based products that Kaslink manufactures.[4] Just a few days earlier, Fazer had announced that it would sell its Fazer Food Services restaurant operations to the British Compass Group as part of the company's strategy focused on consumer products.[5]

Following the 2022 Russian invasion of Ukraine, Fazer sold its Russian business to bakery firm Kolomenskij.[6]

Corporate affairs

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Business areas and management

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Karl Fazer Café in Finland

Fazer Group includes communications, legal, HR, finance and treasury, risk management, security, investment management, corporate planning, property management and internal audit. Shared services include IT, accounting and human resources.

Fazer operates through three Business Areas. The business areas are Fazer Bakeries, Fazer Confectionery and Fazer Lifestyle Foods.

Products and services

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Fazer chocolate products

Products

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Fazer's most notable products include its classic Fazer Blue (Fazerin sininen) milk chocolate, widely regarded as one of Finland's most respected brands and a part of Finnish cultural heritage and cuisine.[7][8] Other well-known Fazer products include their salmiakki (salty licorice) products, such as Fazer salmiakki, Tyrkisk Peber and salmiakki-flavoured Fazer Blue.

Fazer Bakery

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Fazer Puikula Ruisleipä (rye bread)

Fazer operates 9 large-scale bakeries across Finland, Sweden and the Baltics and exports its bakery products to 21 countries. In addition to these, Fazer operates 136 small-scale in-store bakeries in large Finnish supermarkets.[9] In 2018, Fazer's cricket bread won the Bronze Lion in the Sustainable Development Goals section of the Cannes Lions International Festival of Creativity.[9]

Fazer's bakery brands include Oululainen, Skogaholm, Druva and Gardesis. Fazer produces its biscuits in Vantaa, and its biscuit brands in Finland include Jyväshyvä, Domino, Jaffa, Fasupala, Carneval, Suklaalehti, Muro and Hangon. Fazer's Lappeenranta bakery produces Karelian pies. Fazer's Karelian pies are Rukiinen piirakka, Rukiinen Imatran Riisipirakka (rice pasty), Vuoksen piirakka, Rukiinen Perunapiirakka (potato pasty) and Rukiinen Porkkanapiirakka (carrot pasty). In April 2016, Fazer was reported to have bought back the Domino, Jaffa and Fanipala brands.

Fazer Confectionery

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Fazer Blue (Finnish: Fazerin Sininen) chocolate bar

Fazer is the leading producer of chocolates, sweets and biscuits in Finland with a market share of 30-40%. The Confectionery division has production facilities in Vantaa and Lappeenranta. Confectionery is sold in more than 40 countries.

Fazer's confectionery factories in Finland are located in Lappeenranta (sugar confectionery) and Vantaa (chocolates). The company produces 25,000 tonnes of chocolate per year. It became a member of the World Cocoa Organization in 2005.

Fazer Retail operates Fazer Cafés in Finland and Gateau bakery shops in Finland and Sweden. The flagship Fazer Café is on Kluuvikatu in Helsinki, opened in 1891. It is a rare example of Art Deco design in Finland.[9]

Confectionery brands

Fazer candy packs
Aarrearkku (Treasure chest) candies
Pantteri is a popular brand of candies by Fazer.
Fazer's former licorice bar
  • Pihlaja (1895)
  • Mignon (1896)
  • Kiss-Kiss (1897)
  • Fazer Liqueur Fills (1900)
  • Finlandia (1902)
  • Wiener nougat (1904)
  • Tokyo (1908, formerly known as Geisha)
  • Vihreät kuulat (1908, formerly known as Päärynäkuulat)
  • Orange (1910, formerly known as Appelsiini)
  • Islanti (1910)
  • Da-Capo (1916)
  • Taloussuklaa (1917)
  • Eucalyptus (1919)
  • Fazer Blue (1922)
  • Lakta (1926)
  • Laku-Pekka (1927)
  • Avec (1929, formerly known as Ranskalaiset pastillit)
  • Fazerin Parhain -makeissekoitus (1935)
  • Tosca (1936)
  • Dumle (1945 in Sweden, 1985 in Finland)
  • Pax (1947–1991, resumed production in 2007)
  • Marianne (1949, by Chymos)
  • Rex (1950)
  • Fazerina (1953)
  • Amerikan pastillit (1953)
  • Jim (1958)
  • Fami (1960–1986, resumed production in 2007)
  • Pantteri (1961, by Chymos)
  • Kina (1961)
  • Geisha (1962)
  • Suffeli (1966)
  • Omar (1966, by Chymos)
  • Fazermint (1969)
  • Merkkari (1973)
  • Kismet (1974)
  • Tyrkisk Peber (1977)
  • Pätkis (1978)

Fazer Lifestyle Foods

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The Lifestyle Foods division produces other food items, such as Froosh smoothies, Fazer Aito oat products and non-dairy drinks as well as Frebaco and Fazer Alku oat-based breakfast foods. These are produced in Lahti, Lidköping and Koria.[9]

See also

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References

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Revisions and contributorsEdit on WikipediaRead on Wikipedia
from Grokipedia
Fazer Group is a privately owned Finnish family business and leading Nordic (FMCG) company specializing in , bakery products, plant-based foods, and food innovations, with a heritage dating back to its founding in 1891 by in . The company originated when , a passionate confectioner trained in St. Petersburg, , and , opened his first patisserie and café on Kluuvikatu in , introducing European-style pastries like confiture de lait and quickly establishing it as a local landmark. In 1894, Karl married Berta Blomqvist, who played a pivotal role in the business by managing production, accounting, and employee welfare, including the establishment of an on-site daycare in 1951 that influenced modern family-friendly policies. By 1897, Fazer expanded into industrial production with a in Helsinki's Punavuori , diversifying into items like Pihlaja candies, , , and while emphasizing quality and purpose-driven food. Over the decades, Fazer has evolved from a local café into an international Food Experience Company, guided by core values of Northern Liberty, True Relationships, and Fearless Creativity, with a mission to create "Food with a purpose" that brings joy and to . Today, it operates across eight countries—, , , , , Denmark, Norway, and —with 16 production sites primarily in , , and , employing approximately 5,807 people and exporting products to over 40 countries worldwide. Fazer's product portfolio includes iconic confectionery brands like Milk Chocolate, alongside bakery goods, plant-based drinks (such as oat drinks expanded into and ), flours, and innovative snacks like the Fazer Taste the Future , with 41% of its offerings being plant-based to meet growing consumer demand for options. In 2024, the company achieved net sales of €1,183.1 million, reflecting its robust position in the Nordic market while prioritizing through initiatives like a 34% reduction in Scope 1 and 2 emissions since 2020, a 13% decrease in food loss, and 87% recyclable packaging. These efforts underscore Fazer's commitment to environmental responsibility, protection, and ethical sourcing, such as reducing use by 67% since 2019 and ensuring certified sustainable ingredients like soy and coconut.

History

Founding and early years

Fazer was founded in 1891 by , a Finnish entrepreneur born in in 1866, who opened a French-Russian-style café at Kluuvikatu 3 in central . The establishment emphasized high-quality coffee, freshly baked pastries, and imported chocolates, quickly becoming a popular meeting place for Helsinki's residents and reflecting Fazer's vision of introducing European culinary sophistication to . Prior to launching the café, Karl Fazer trained as a confectioner in prominent European cities, including St. Petersburg, Berlin, and Paris, where he apprenticed under renowned masters and gained expertise in chocolate-making techniques from Russian, Swiss, and French traditions. In 1894, he expanded into production by renting six rooms on Pursimiehenkatu street to create Finland's first industrial confectionery operations, employing 12 women and six men to craft chocolate cakes, confections, and early sweets like the "Imperial mix" and Kiss-Kiss caramel. By 1897, Fazer had introduced Finland's first handmade chocolates and opened a dedicated four-story factory on Tehtaankatu in Punavuori, Helsinki, enabling larger-scale manufacturing and the launch of initial chocolate products, such as Finland's first handmade chocolates. The early years also saw rapid growth in exports, with the first shipment of "Greek pastilles" to in 1898, followed by markets in , , , the , America, , and . However, (1914–1918) disrupted operations due to supply shortages and rationing in , then part of the , leading to temporary closures and adaptations in production to cope with material scarcities. Despite these challenges, the company rebounded in the early 1920s, launching the iconic Milk Chocolate bar in 1922, which solidified its foundational identity in Finnish .

Expansion and diversification

Following , Fazer undertook significant reconstruction efforts to repair war-damaged facilities and restore production capacity, enabling a pivot toward broader food diversification in the late 1940s and 1950s. The company expanded into products, launching Oululainen Jälkiuunileipä, a traditional Finnish , in 1947 as part of its post-war recovery strategy. By 1952, Fazer began delivering fresh bread directly to retail stores, marking its entry into the competitive fresh market, and introduced Oululainen Hapankorppu crisps in 1955 to capitalize on demand for durable grain-based goods. A pivotal acquisition in 1958 involved the purchase of the Oululainen , which integrated a wide assortment of products into Fazer's portfolio and solidified its position in Finland's bakery sector. This merger facilitated entry into industrial-scale production, complementing the company's longstanding confectionery roots. Further growth in the included the establishment of Finland's first sliced and packaged toast, Fazer Paahto, in 1966, enhancing convenience for consumers amid rising . Diversification accelerated through iconic confectionery launches that broadened Fazer's appeal beyond chocolate. In 1960, the company introduced Dumle, a popular toffee candy covered in milk chocolate, originating from Swedish prototypes and quickly becoming a staple in the Nordic market. This was followed by the 1962 debut of Geisha chocolate, featuring a unique hazelnut nougat filling inspired by Japanese pastries, which established a premium praline line. Meanwhile, Fazer Blue milk chocolate, first created in 1922, gained prominence as a signature product in the post-war era, symbolizing reliable quality during the 1950s economic stabilization. In the 1970s and , Fazer further diversified by venturing into frozen products and initial international outreach. The establishment of Fazer Catering in 1976 introduced frozen meals and bakery items for institutional use, expanding operations into food services and leveraging cold-chain technology for preserved freshness. Supporting this, the 1971 construction of Fazer Mill & Mixes in provided in-house flour production to scale bakery output. By the late , these developments laid the groundwork for exports to neighboring and the emerging , building on earlier shipments, such as the coronation marmalade exported in 1948 (later renamed ).

Modern developments and investments

Following the and subsequent market liberalization, Fazer expanded into in the early 1990s, targeting opportunities in the emerging sector. The company's key entry came through the acquisition of a 51% stake in the St. Petersburg-based Hlebny Dom in for $18.5 million, which it increased to nearly 80% by 2004; this move introduced modern production technologies and boosted the facility's from under 15% to approximately 35% over the ensuing decade. However, following 's invasion of , Fazer sold its Russian operations in 2022. In the 2000s, Fazer pursued strategic growth through its confectionery operations by merging with Swedish rival in 2000 to form Cloetta Fazer AB, creating a leading Nordic player with combined annual sales exceeding €1 billion at the time; the partnership, however, ended in a de-merger in 2008 amid ownership disputes. Complementing this, Fazer entered the healthy snacks market in the by establishing Fazer Lifestyle Foods in 2017, focusing on plant-based products like oat-based beverages and smoothies under brands such as Fazer Aito and Froosh to meet rising demand for sustainable, nutritious options. Recent milestones include the 2018 launch of non-dairy products under the Fazer Yosa , expanding Fazer's plant-based portfolio amid growing interest in vegan and health-focused alternatives. In July 2025, Fazer announced its largest-ever investment of approximately €400 million in a new state-of-the-art in , , aimed at modernizing production processes, enhancing efficiency, and reducing emissions; construction began in late 2025, with completion slated for 2028.

Corporate structure

Ownership and governance

Fazer has remained a under the control of the Fazer family since its founding in 1891 by , with no public stock listing and ownership managed through the parent entity Oy Karl Fazer Ab. The fifth generation of the family is actively involved, including board member Jan Fazer (born 1975), who contributes to business and strategy development, reflecting the multi-generational continuity that has shaped the company's . The governance framework adheres to the Finnish Companies Act, the company's , and the Finnish Corporate Governance Code, with the General Meeting serving as the highest decision-making body where shareholders exercise supervision and control. The , consisting of eight members, is chaired by Casper von Koskull (appointed 2021), a seasoned banking executive, and includes independent members alongside family representatives like Jan Fazer, who chairs the ; Hubert Weber joined the board in 2025. Independent advisors support the board, and annual general meetings facilitate shareholder input, ensuring balanced oversight in line with Finnish corporate laws. Key includes President and CEO Christoph Vitzthum, appointed in 2013, who oversees group strategy and operations. The company's structure evolved from its origins as a to a formalized group in 2000 through the merger forming Fazer AB as the parent company, although Fazer regained full independence in 2008 after repurchasing its shares. Decision-making emphasizes long-term family values, guided by an Owners’ Council that nominates board members and influences , including family structures that prepare subsequent generations for involvement. Succession policies, rooted in family-oriented practices developed since the , focus on intergenerational transfer and continuity, as evidenced by the structured preparation of fifth-generation members in and roles.

Financial performance

Fazer Group's net sales have demonstrated steady growth of approximately 3–4% annually since 2010, particularly following the divestiture of its food services division in 2019, which allowed focus on core and bakery operations. In 2024, net sales totaled €1,183.1 million, marking a 1% increase from €1,170.1 million in 2023, with the segment driving much of the expansion through an 8% rise to €543.1 million amid resilient consumer demand for premium products. Profitability in recent years has been supported by operational efficiencies, though challenged by inflation. The 2024 result for the period stood at €34.7 million, with comparable EBITDA reaching €141.4 million and an EBITDA margin of about 11.9%. Projections for indicate sustained margins around 11–12%, tempered by ongoing inflationary pressures on commodities like and cocoa, but bolstered by cost-control measures and productivity gains. As a family-owned entity, Fazer adheres to a self-funded model that prioritizes internal resources and avoids dilutive external equity, maintaining across generations. For strategic expansions, the company employs targeted financing; notable examples include €92.8 million in capital expenditures in 2020 for capacity enhancements and a planned €400 million long-term package in 2025 to support the of a new chocolate factory in , . Net remained low at €22.4 million by the end of 2024, reflecting prudent leverage with a gearing of 3.3%. Fazer's net sales are expected to remain stable or grow slightly in 2025 compared to 2024, fueled by the facility's ramp-up and international , while emphasizing cost disciplines to navigate broader European economic headwinds such as volatility. This outlook aligns with the company's emphasis on sustainable profitability in a competitive FMCG .

Operations

Manufacturing facilities

Fazer's primary manufacturing facilities are concentrated in , with the site serving as a central hub that integrates the company , a , a large , and production capabilities. This facility supports a range of and operations, producing key products such as Milk Chocolate tablets. The location encompasses multiple specialized plants, including a grain mill, crisps , large , gluten-free , and production unit. In July 2025, Fazer announced a €400 million investment in a new in 's Pippo industrial area, with construction commencing that summer and full operations slated for 2028; a groundbreaking ceremony was held on October 7, 2025. This state-of-the-art facility, spanning 33,300 , will feature highly automated production lines and operate with CO2 emissions-free energy through and systems. The project, the largest in the company's history, aims to enhance efficiency and support international expansion while eventually consolidating chocolate production from . Fazer has invested in advanced technologies to optimize its production processes, including energy-efficient machinery that has improved energy efficiency by 5.6% in its Finnish bakery operations and enabled a switch to fossil-free at major sites like Vantaa, , and by 2023. These upgrades, combined with broader efficiency measures, have contributed to a 13% reduction in avoidable loss since the 2020 baseline, aligning with the company's 2030 target of 50% less . In terms of practices, Fazer sources 100% of its cocoa from sustainably managed farms, with 34% procured through its proprietary Cocoa Horizons program in 2024 to promote ethical farming and . The company maintains in-house grain milling operations, including at the facility, to process flours directly for its products, ensuring control over quality and in raw material handling. Overall, Fazer's production infrastructure across its 16 facilities in Finland, Sweden, and Latvia processed 519,399 tonnes of raw materials in 2024, underscoring its scale in confectionery, bakery, and lifestyle foods. The ongoing Lahti expansion is projected to boost chocolate output capacity to meet growing demand, building on recent investments like the €11 million upgrade to rye bread lines in Lahti, completed in April 2025, which enabled the baking of the world's largest rye Puikula loaf (7 kg) on November 17, 2025.

International markets

Fazer's international presence extends beyond its Finnish base, with operations in eight countries and exports reaching over 40 countries worldwide. In 2024, international markets accounted for approximately 40% of the company's net sales, underscoring its growing global footprint in , bakery, and plant-based foods. Key export destinations include , the , and various European neighbors, where products form the largest category, alongside baked goods such as , arctic thin breads, and Karelian rice pasties. Specialty ingredients like also contribute significantly to export volumes. The company maintains subsidiaries and production facilities in strategic regions, including and , supporting localized operations across the Nordics and Baltics. Notable expansions in the 2010s include the 2011 acquisition of the Swedish artisanal bakery chain Gateau, which enhanced Fazer's premium offerings in , and the 2008 purchase of Lantmännen Färskbröd, positioning it as the second-largest player in the Swedish market. In the Baltics, brands like Druva and Gardesis cater to regional preferences for traditional breads. Historically, Fazer established a significant subsidiary in in the early , which generated about 13% of group net sales in 2021 (approximately €157 million); however, following Russia's invasion of , Fazer fully exited these operations in April 2022 amid geopolitical tensions and sanctions, leading to shifts toward other European and Nordic sources. To adapt to diverse markets, Fazer tailors products to local tastes and regulatory requirements, such as developing variants for Baltic consumers who favor hearty, traditional baked goods and introducing low-sugar options to comply with health and standards. These adaptations have helped maintain competitive positioning in health-conscious segments across . The 2022 geopolitical challenges, particularly the Russia exit, prompted further diversification, including enhanced sourcing from stable Nordic suppliers to mitigate disruptions. Looking ahead, Fazer's growth strategies emphasize expansion in high-potential areas like for , , and plant-based products, alongside investments in foodtech innovation. The company has strengthened its global travel retail presence, distributing iconic brands in airports and duty-free outlets worldwide. Additionally, initiatives have bolstered sales across , while ongoing partnerships with international distributors—particularly in since the mid-2010s—support broader export reach and .

Products and brands

Confectionery

Fazer's confectionery division focuses on chocolates, candies, and related sweets, producing a diverse portfolio that emphasizes quality ingredients and traditional Finnish flavors. The division operates as the company's largest segment, accounting for approximately 46% of the group's net sales in , with output centered at its primary facility in Vantaa, . Products are exported to over 40 countries, reinforcing Fazer's position as 's leading producer. Key brands include the iconic milk chocolate, commonly known as , which has been a staple since its early development and remains the top-selling product, with 13 million bars produced annually. , launched in 1962, features a signature praline filling inspired by a crispy Japanese product, combining smooth with a nutty interior. Dumle toffees, with roots tracing back to a 1945 Swedish that was renamed in 1960 and acquired by Fazer in 1975, offer a chewy texture coated in , appealing to generations with its playful, nostalgic appeal. The product range encompasses a wide array of over dozens of varieties across chocolates, sugar candies, and related items, including seasonal offerings such as pralines filled with and holiday-themed sweets like Dumle mint fudge. In response to consumer demand for inclusive options, Fazer introduced vegan products in 2020, including the plant-based Choco tablet made without , alongside variants with no to cater to health-conscious preferences. Innovations in the line highlight and modern tastes, such as the 2024 launch of vegan hearts using upcycled byproducts and the Taste the Future series incorporating air-fermented protein like Solein for cocoa-free, grain-based candies. These developments support Fazer's market leadership in , and contribute to its competitive presence across the Nordic region. Production emphasizes high-quality cocoa sourced responsibly, with flagship items like relying on carefully balanced recipes for their creamy profile.

Bakery and fresh foods

Fazer's bakery division specializes in a range of fresh and frozen baked goods, including breads, pastries, and crispbreads, with a strong emphasis on rye-based products that reflect Nordic culinary traditions. The division operates large-scale facilities in , such as those in , , and , focusing on daily production to ensure freshness across the Nordic markets. Key product lines include rye breads like the popular Reissumies, a soft loaf that dominates the category in , where Fazer holds a market-leading position in the overall sector. The company produces up to 25,000 units of Reissumies per hour on its advanced lines, supporting high-volume output for regional demand. Pastries such as croissants and buns are offered in both fresh and frozen formats, while frozen doughs enable in-store baking for retailers, allowing customized fresh goods like savory pies and sweet treats. Under the Oululainen brand, acquired in 1958, Fazer produces crispbreads made from wholegrain , including varieties flavored with or roasted pepper, which provide crunchy, fiber-rich snacks popular in . For premium pastries, Fazer offers items like buttery buns and cakes through its portfolio, often highlighted in seasonal innovations. Fazer's bakery products are primarily supplied to major Finnish supermarket chains, including those under the and networks, with a focus on daily deliveries to maintain product freshness in the Nordics. Innovations include expanded gluten-free options, where Fazer achieved market leadership in fresh gluten-free bakery products by 2021, building on earlier introductions in the mid-2010s. The segment accounts for approximately 38% of the Fazer Group's , underscoring its role as the second-largest division after , with net sales reaching €452.4 million in 2024.

Lifestyle foods

Fazer Lifestyle Foods, established in 2017, develops and markets health-oriented, plant-based products aimed at Nordic consumers seeking sustainable and nutritious options for daily wellness. The division emphasizes functional foods that support balanced diets, including non- beverages, breakfast cereals, and on-the-go snacks derived from oats, fruits, and vegetables. These offerings align with broader trends in plant-based , providing alternatives to traditional and high-sugar items while prioritizing taste, minimal processing, and environmental responsibility. Key product categories include protein-enriched snacks, yogurt alternatives, and nut mixes, historically supported through Fazer Food Services before its divestiture in 2019, with current focus under the Lifestyle Foods umbrella. For instance, Fazer has launched innovative protein bars featuring Solein, a novel air-fermented protein, such as the Taste the Future chocolate-hazelnut bar containing 7% Solein for added nutrition without animal-derived ingredients. Yogurt alternatives are represented by Fazer Aito drinks, which serve as versatile dairy-free bases for smoothies or fermented products, while nut mixes and trail mixes appear in Froosh's on-the-go fruit and nut combinations for sustained energy. Fazer expanded its plant-based portfolio with oat-based innovations building on earlier launches like the 2020 Fazer Oat Choco tablet. Prominent brands in this segment include Xylimax, a sugar-free line sweetened exclusively with since the 1990s, which supports dental health by reducing risk and maintaining oral moisture. Real Snacks provides high-fiber options through grain-based clusters and bars, promoting gut health and satiety with added whole grains and minimal added sugars. These brands integrate with Fazer's café services, where healthy meals featuring Lifestyle Foods products—such as oat-based smoothies or fiber-rich snacks—are offered in Fazer Cafés to encourage balanced eating in everyday settings. The segment positions itself as a leader in Northern Europe's plant-based market, with approximately 20% of Fazer's derived from these products in recent years; in , comparable net sales for Foods grew by 1% excluding the business exit, amid rising demand for sustainable options. Growth has been bolstered by expansion, enabling direct access to wellness-focused consumers across the region. All products adhere to labeling standards, providing clear details on , fats, sugars, and to aid informed choices and compliance with Regulation () No 1169/2011. Post-2020 innovations have centered on functional enhancements, including low-carb items like vegetable-enriched breads with up to 30% content for reduced glycemic impact, and probiotic-enriched developments explored in collaborative for gut benefits. By 2024, 41% of Fazer's overall product SKUs were plant-based, reflecting accelerated R&D in derivatives and novel proteins like Solein to meet wellness demands without compromising flavor.

Sustainability and responsibility

Environmental initiatives

Fazer has committed to science-based targets under the (SBTi), aiming to reduce its absolute Scope 1 and Scope 2 greenhouse gas emissions by 42% by 2030 from a 2020 baseline, alongside a 42% reduction in Scope 3 emissions across its by the same year. In 2024, the company achieved a 34% reduction in Scope 1 and 2 emissions compared to the baseline, primarily through transitions to renewable energy sources in manufacturing, while Scope 3 emissions increased by 1.6%, reflecting ongoing challenges in . Overall, total emissions stood at 693,223 tCO₂e in 2024, marking a 1% decrease from 2020 levels. In sustainable sourcing, Fazer prioritizes responsible of key ingredients to minimize ecological impacts. For cocoa, 53% was sourced from its own farmer programs or certified suppliers in 2024, with 34% traceable to origin and the remainder certified under standards such as or Fairtrade; the company targets 100% by 2027 to enhance biodiversity and farmer livelihoods. In September 2025, Fazer partnered with UNIDO to strengthen fair and responsible cocoa supply chains from farms to global markets. Regarding palm oil, Fazer reduced its usage by 67% since 2019 and committed to eliminating it from all and products by the end of 2024, with the remaining volume at 99.5% RSPO-certified and segregated for . Complementing these efforts, Fazer set a goal to halve avoidable food loss by 2030 from a 2020 baseline, achieving a 13.2% reduction in 2024 through initiatives like programs and optimized production processes. In 2025, Fazer launched a pilot of its renewed farming programme in , promoting the adoption of Climate Choice fertilisers to reduce environmental impact. Factory-specific initiatives underscore Fazer's push toward low-carbon operations, particularly at its Bakery, which utilizes 67% biomass-derived steam from oat husks for and incorporates solar investments as part of its 2023 update. The facility is pursuing further decarbonization with a new electric rollout in 2025, projected to cut annual CO₂ emissions by 800–1,030 tonnes. Broader circular economy practices include efforts that support 87% recyclable packaging across products in 2024, with targets for 100% by 2030, and innovations like thinning praline wrappers to reduce plastic use by 40 tonnes annually. Fazer's environmental progress is documented in its annual sustainability reports, which align with the UN —particularly SDG 2 (Zero Hunger), SDG 12 (Responsible Consumption and Production), and SDG 13 ()—and follow standards while preparing for the Corporate Sustainability Reporting Directive (CSRD) in 2025. To finance these initiatives, the company established a Green Finance Framework in 2025, building on a €200 million facility signed in 2022 that ties funding to sustainability performance indicators, such as emissions and food loss reductions.

Social and ethical practices

Fazer employs approximately 5,800 people across eight countries as of the end of 2024, reflecting its commitment to fostering a diverse and inclusive workforce. The company has achieved 46% female representation in management roles, supported by policies that promote gender neutrality in recruitment and leadership development. To enhance employee well-being and ethical awareness, Fazer provides mandatory training programs, including Diversity, Equity, and Inclusion (DEI) e-learning completed by 72% of employees and a Code of Conduct course finished by 96% of white-collar staff, covering topics such as food safety, human rights, and ethical decision-making. In its practices, Fazer enforces a that explicitly prohibits child labor and requires adherence to international labor standards, with 89% of suppliers by spend having signed the code as of 2024. The company conducts regular third-party audits, including SMETA assessments for social compliance, to verify ethical standards across its operations and suppliers. For cocoa sourcing, Fazer ensures 53% of its cocoa is certified by or Fairtrade, while the remainder comes from its own farmer programs in regions like and , where premiums are paid to support farming and community development; these initiatives have been in place since the early to promote fair incomes for producers. Fazer's community engagement focuses on and , with initiatives like the Fazer Award providing biennial scholarships to outstanding Master's students in who demonstrate academic excellence and commitment to issues. In 2024, the company donated 222 tonnes of food to organizations in , contributing to efforts to alleviate hunger and support local food banks. Ethical practices are integrated into through Fazer's Quality, Environment, Health, and Safety (QEHS) policy, which sets standards for responsible operations and is enforced via annual third-party certifications such as for occupational health and safety and FSSC 22000 for . This policy aligns with the company's family-owned values of integrity and long-term responsibility, ensuring accountability across all levels.

References

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