Following talks between government and Unilever representatives, the company announced it will move the operations to an existing wet foods plant in Tatura, Victoria, which will undergo a €44m investment to accommodate increased output demand.
The move will come as a boost to food manufacturing within Australia, which is facing increasing pressure from rivals in developing markets in Asia.
The company had taken the decision last year to scale down its presence in the country through the closure of its Knoxfield dry foods plant in Melbourne.
The decision was blamed on lower cost competition from overseas markets.
As a result, Unilever had proposed shifting production to an existing dry foods plant in Vietnam to increase its competitiveness within the sector
By incorporating dry foods production in the Tatura plant, the company will see popular international brands like Cup-a-Soup, Pasta & Sauce and other recipe mixes, produced under the same roof as its Lipton ice tea and condiment ranges.
Unilever's John Simpson welcomed the expansion as a beneficial step for both the company and the region,
"We are delighted that our food manufacturing operation will stay within Australia, and the move to Tatura will provide a welcome boost to the local economy and the wider Goulburn Valley region," he said.
