'Sad day' for Melbourne chocolate maker

Chocolate manufacturer Hillier's has been placed into voluntary administration, though should be sold as a going concern.

chocolates ernest hillier a picture from the ernest hillier facebook page

(Supplied

It's a sad day for workers at Australia's oldest chocolate maker, Victoria's acting premier says, after Hillier's was placed into voluntary administration.

The company, founded in 1914 and which relocated from Sydney to Melbourne, will continue to trade and should be sold as a going concern.

"This is a very sad day for Ernest Hillier, its employees and their families," Acting Premier James Merlino said on Thursday, noting uncertain times for Hillier's 60 workers.

He said the state government was open to talks with "any company in need".

Hillier's was the first chocolate maker established in Australia, by English expat Ernest Hillier.

Ernest Hillier Pty Ltd was on Sunday handed over to administrators Cor Cordis, which is assessing its finances and liaising with employees.

Cor Cordis managing partner Bruno Secatore said the business would continue to operate, producing products for supermarkets and other retailers.

"It is our intention to trade through this voluntary administration and to sell the Hillier's business as a going concern," Mr Secatore said in a statement on Thursday.

"We have already received significant interest in purchasing Hillier's as a going concern, and we will work through those enquiries in due course."

The first meeting of creditors will be held on Tuesday.

The Australian Industry Group says the news reflects the increasing cost and competitive pressures on local manufacturers.

"Companies with strong brand names, such as Ernest Hillier and Darrell Lea, have found competing with international brands, have been increasingly difficult," said Tim Piper, the group's principal advocate for the confectionery sector.

Hillier's was sold last year for $11 million to British company Re Capital.


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