Jerónimo Martins Group Announces Gradual Closure of Hussel Retail Chain in Portugal

Jerónimo Martins Group Announces Gradual Closure of Hussel Retail Chain in Portugal

(IN BRIEF) The Jerónimo Martins Group has decided to close Hussel’s chocolate and confectionery retail operations in Portugal after concluding that the business was no longer sustainable. The decision follows the insolvency of Hussel’s German partner, which disrupted supply chains and eliminated scale advantages, alongside rising operating costs and prolonged pressure on cocoa prices. Regulatory changes and adverse conditions in global cocoa production further contributed to the challenges. All affected employees will be offered roles within other Jerónimo Martins Group companies, and the closure of the 18 stores will be completed gradually by the end of April 2026.

(PRESS RELEASE) LISBON, 6-Jan-2025 — /EuropaWire/ — The Jerónimo Martins Group has announced its decision to discontinue the operations of Hussel, a specialty retail chain focused on chocolates and confectionery in Portugal, after extensive efforts to restore the business proved unsuccessful.

Despite sustained analysis and multiple initiatives aimed at ensuring the company’s long-term viability, the Group concluded that Hussel’s operation was no longer sustainable and that there were no realistic prospects for recovery. As part of this decision, all Hussel employees have been assured continued employment within other Jerónimo Martins Group companies operating in Portugal.

Several interconnected factors contributed to the closure decision. In 2024, Hussel GmbH, the German partner underpinning the Portuguese operation, entered insolvency proceedings following prolonged financial challenges exacerbated by the COVID-19 pandemic. The insolvency ultimately brought the partnership to an end, resulting in significant supply disruptions and the loss of operational scale that had supported the business model in Portugal.

These challenges were further compounded by a sharp increase in operating costs, particularly rental expenses, which placed additional strain on the business. At the same time, sustained pressure on cocoa prices significantly impacted margins. This increase was driven by reduced production in major cocoa-producing countries, ongoing growth in global demand, adverse weather conditions affecting harvests, and the growing regulatory burden linked to new European sustainability requirements, including the European Union Deforestation Regulation.

Taken together, these factors created an operating environment that the Group determined was no longer viable. As a result, the closure of Hussel’s 18 stores in Portugal will be carried out gradually, with the process expected to be completed by 30 April 2026.

Media Contact:

pedro.rio@jeronimo-martins.com
+351 96 152 84 71

SOURCE: Jerónimo Martins