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M&M's candies and a pack of Wrigley's Doublemint gum in this photo illustration at a convenience store in Medford, Massachusetts April 28, 2008. M&M's candy maker Mars Inc has teamed up with billionaire Warren Buffett to buy No. 1 chewing gum manufacturer Wm Wrigley Jr Co for $23 billion, creating the world's largest confectionery company. REUTERS/Brian Snyder REUTERS/Brian Snyder

Wrigley Canada is already moving out of Toronto and relocating to Gainesville, Ga. in the United States. The closure will occur in 2016 with 383 jobs affected, according to reports.

The company, which has been in operation for 52 years, said it is shutting down the factory operations in response to a re-organising plan. The chewing gum maker reviewed its supply chain as it dealt with a decline in the sales of its product.

"Despite recent improvements in the gum category and increased productivity in our supply chain network, it has not been enough to offset declines in the gum category over recent years," a statement issued by the company said. It added it was “a tough decision” to move the plant.

It vowed, however, that its Canadian head office will remain in Toronto. It has 1,200 people who work under sales, marketing, and finance.

The affected workers will be offered “a lengthy period of working notice, favourable severance packages, career transition support, reasonable paid time off to attend job interviews, and counselling.” A report by Toronto Star said the plant’s production, of which 80 percent is shipped to the U.S., will be slashed in even phases. The first phase of the closure will start in May. The job cuts will likewise be done in a staggered manner.

Industry research data cited by the Associated Press revealed that chewing gum sales from 2009 to 2013 dropped by 11 percent to US$3.71 billion, while total candy sales jumped 10 percent to US$31.5 billion.

Situated near Leslie Street and Eglinton Avenue East, the Toronto plant opened in 1963. It is where Wrigley’s most popular chewing gums, such as Excel, Extra Professional, 5, Juicy Fruit and Orbit are manufactured. Brad Duguid, Ontario's Economic Development Minister, confirmed Mars’ commitment to their other Ontario business operations, including their production facilities in Bolton, Guelph and Newmarket. Wrigley is owned by candy bar maker Mars, Inc.

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