Chocolate production halted

Latvia's Laima candy company has suspended the production of chocolates, Latvia'sNetkariga Rita Avize daily reports.

According to the official explanation, production has been stopped due totechnical reasons, but unofficial sources claim the company's storagefacilities are filled with costly products that are no longer on such a highdemand as previously.

Citing Laima public relations consultant Ingars Rudzitis, the Latviannewspaper says the company is still working and only the production of chocolateshave been temporary stopped due to technical problems. "Production isbeing organized depending on demand. That the storage facilities are full isnothing unique. This is how it should be to make sure that stores do not runout of our products," Rudzitis told the newspaper.

According to Laima representatives, demand for Laima's candies increasedsteadily during the first three months of 2008, as sales in kilos rose by 14percent, with the sale of other Laima products growing as well.

Laima belongs to NP Confectionary ABgroup and is 97-percent owned by Icelandic-controlled Nordic Partners, whileJuris Jonaitis holds the remaining 3 percent.