LONDON (Reuters) -Associated British Foods said on Wednesday its under threat Vivergo bioethanol plant in Hull, northern England, will cease purchasing the wheat feedstock required for its production
AB Foods Delays Decision on Vivergo Bioethanol Plant Closure Until June 25
LONDON (Reuters) -Associated British Foods said on Wednesday its under threat Vivergo bioethanol plant in Hull, northern England, will cease purchasing the wheat feedstock required for its production but will hold off other closure decisions until June 25.
"That short extension is intended to give space for (government) departments to work up options - but time is very limited, and we are clear that any further delay will require financial support from the government," AB Foods said in a statement.
The group has warned that last month's U.S.-UK trade deal, which will see the UK's 19% tariffs on U.S. ethanol fall to zero, on top of existing regulations giving overseas producers an advantage in the British market, have made the operating environment impossible.
(Reporting by James Davey; editing by Michael Holden)
