Caramelised biscuit producer Lotus Bakeries has announced it will be investing €27m in its two Belgian plants to support increased demand from abroad.

The Belgium-based firm said export sales have significantly increased in recent years in countries including the UK, France, the Netherlands and the US, prompting it to increase capacity at its Lembeke site for sole production of its caramelised biscuits.

In order to support the growth of its cake segment in Belgium, Lotus will also be investing in its cake plant in Oostakker.

The firm said it plans to concentrate all of its cake production at this site, which will provide the higher volumes needed to further increase the plant’s profitability and provide a basis for expanding production capacity.

Lotus plans to extend the production hall at Oostakker by almost 50%, and then move its Frangipane production from Lembeke to this site.

Following the planned investment, its Lembeke site will only produced caramelised biscuits, and Oostakker will produce various cake specialities.

The investment will be spread over three years, with the projects due to be operational in 2013.