Venezuela on Wednesday reactivated a Kellogg plant under work control, a day after the cereal maker joined an exodus of USA companies from the crisis-wracked country.
"The current economic and social deterioration in the country has prompted the company to discontinue operations".
Kellogg did not specify what difficulties it was facing in Venezuela, but companies typically struggle to find raw materials due to product shortages and currency controls that crimp imports. "All assets, contractual obligations and legal guarantees have been settled with Kellogg's employees, suppliers and customers in Venezuela", said Kellogg in a statement.
On Wednesday, Aragua state Governor Marco Torres slammed Kellogg and guaranteed food production would continue.
Speaking to supporters ahead of Sunday's presidential election - which the global community has condemned as a "sham" for not offering any non-socialist options - leftist dictator Nicolás Maduro described the move as "unconstitutional". "Yet, we're here - in less than 24 hours".
Clorox CLX.N , Kimberly-Clark KMB.N , General Mills GIS.N , General Motors GM.N and Harvest Natural Resources are the most recent big names to pull out of Venezuela in the face of economic conditions.
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Maduro is blaming everyone for his mess, mostly the US, but "accusing America of creating Venezuela's crisis is about as fair as accusing O.J. Simpson of murdering Princess Diana - I'm not saying it would be completely out of character, it just happens to not be true in this particular instance", Oliver said.
"We've begun judicial proceedings against the business leaders of Kellogg's because their exit is unconstitutional", Maduro declared.
Kellogg's factory in the city of Maracay employs around 550 people that produce 75 percent of the breakfast cereals Venezuelans consume.
The maker of Frosted Flakes and Rice Krispies did not specify what led it to pull out of Venezuela, but said none of its products should be commercialized there without its permission.
According to Euromonitor, Alimentos Kellogg dominated the breakfast cereals sector in Venezuela previous year with a 50% retail value share.