Fuel protests in Spain hitting production at food company Danone

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Multinational food concern Danone is predicting a halt to production in its Spanish plants resulting from blockades mounted by truck drivers protesting rising fuel prices, Spanish media reported on Tuesday.

The transport of milk from farmers to the production plants and that of finished products to consumers were both being affected, public broadcaster RTVE and the El País newspaper reported.

The government in Madrid pledged €500 million ($550 million) in funding to cut the price of diesel fuel following a meeting earlier on Monday with the CNCT association of Spanish hauliers and with regional authorities.

An online platform operated largely by smaller haulage companies had called for blockades and other direct action, which began at the start of last week, to protest rising fuel prices.

The platform is separate from the CNCT.

The protests had hit other parts of the Spanish economy.

The Volkswagen plant in Pamplona in the north, which shut down production on Monday for lack of parts, was able to restart production on Tuesday, a spokesperson said.

The war in Ukraine and attempts by European governments to reduce imports from Russia had led to soaring prices at European fuel pumps.

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