FDBusiness.com

Müller Milk & Ingredients to Invest £15 Million in Streamlined Scottish Dairies Business

 Breaking News
  • Glanbia Cheese Joint Venture to Build New €130 Million Mozzarella Cheese Facility Glanbia Cheese, the joint venture business between Glanbia plc and Leprino Foods, plans to build a new, world-class mozzarella cheese manufacturing facility in Portlaoise, County Laois, Ireland. A site for the new facility has been identified at the recently established Togher National Industrial Estate in Portlaoise. A total of €130 million will be invested in [...]...
  • PepsiCo Reveals the 10 Finalists Joining its 2018 Nutrition Greenhouse Programme PepsiCo has announced the 10 entrepreneurs that will form the second class of its health and wellness incubator in Europe. First launched in 2017 to support the next generation of food and beverage entrepreneurs, the PepsiCo Nutrition Greenhouse programme offers each of the 10 participating companies a €20,000 grant, and access to PepsiCo mentors and experts to take [...]...
  • PureCircle Increases Capacity to Supply Reb M PureCircle, the world’s leading producer and innovator of stevia sweeteners, has announced that its recent advances in expanding capacity now enable it to supply significantly more Reb M to global beverage and food companies. Using beverage sweetening as an equivalized example, PureCircle can now supply enough Reb M to sweeten about 500 million cases of zero-calorie [...]...
  • Introducing the Propack Synchronized Staging Transfer Model PSST/120 Propack has announced a new, economical, safe product delivery system that uses stepper servo technology to receive randomly presented products from baggers, pouchers and flow wrappers to synchronise product delivery to high-speed cartoning machines. With a maximum packing rate of 120 packs per minute (PPM) to 80 twin PPM (depending on product size), the PSST/120 [...]...
  • Bel to Produce Mini Babybel at its First Canadian Factory Bel Group, a world leader in branded cheese and a major player in the healthy snack market, plans to build its first Canadian plant in Sorel-Tracy, Quebec. The facility, which is scheduled to begin commercial production in early 2020, will be fully dedicated to producing Mini Babybel® cheese. These dairy snacks encased in small and [...]...

Müller Milk & Ingredients to Invest £15 Million in Streamlined Scottish Dairies Business

Müller Milk & Ingredients to Invest £15 Million in Streamlined Scottish Dairies Business
April 04
16:03 2016

Müller Milk & Ingredients has confirmed that it is proposing to invest £15 million over the next three years in Scotland’s largest fresh milk dairy at Bellshill as part of a strategic review of its network of Scottish dairies. The proposed investment at Bellshill will improve efficiencies and competitiveness whilst giving the dairy the capability to broaden the range of products it is able to make with milk produced by Scottish farmers.

Müller is also continuing to investigate further opportunities to grow its business in Scotland as it seeks to build a diverse dairy business in the UK.

As part of the review of the structure of its Scottish dairy network, Müller has confirmed a 45 day statutory consultation to examine the potential winding down of milk processing at its smaller Aberdeen and East Kilbride dairies. Both dairies are operating well below full utilisation with more than 60% of the capacity at Aberdeen dairy unused.

While Müller’s network of distribution depots in Scotland is not under review, some roles at Aberdeen depot will also fall under consultation. A total of 229 posts are affected across the Aberdeen and East Kilbride sites.

During the review period the business will consult with its employees and their representatives at the Aberdeen and East Kilbride sites to fully assess and evaluate the proposal. It should be stressed that no decisions will be taken until the consultation period is complete and the business has had the opportunity to review its findings.

In the event of a decision to wind down processing operations at the Aberdeen dairy, all 43 farmers supplying the site will be offered the opportunity to continue supplying the business, conditional on the acceptance of a 1.75 pence per litre transport charge which reflects the need to move the milk to Bellshill for processing.

Farmers in the area who do not wish to continue supplying Müller in the longer term in the event of the closure of Aberdeen dairy will avoid the transport charge and their contracts will terminate on expiry of the 12 months’ notice, giving them time to make alternative arrangements for their milk production.

Andrew McInnes (pictured), managing director of Müller Milk & Ingredients, says:  “We aim to reinvigorate our fresh milk and ingredients business in Scotland and propose to invest to make Bellshill a centre of excellence for dairy, benefitting consumers, customers, employees and farmers. It is important to stress that the status quo is just not viable in the medium term. Our Scottish dairies are inefficient and costly which is putting a brake on the innovation and investment needed to stimulate new demand for dairy products.”

He continues: “Our Aberdeen dairy is operating at less than 40% of its capacity and milk production from farmers in the North East is far in excess of customer requirements in the area. Our small dairy in East Kilbride makes products including flavoured milks and potted cream and we believe that we can gain important efficiencies by relocating that production to Bellshill, which is nearby. We will enter the consultation with an open mind and will rigorously assess the situation and listen to our colleagues before arriving at a decision.”

About Author

mike

mike

Related Articles



Food & Drink Business Conference & Exhibition 2016

Upcoming Events

  • September 5, 2018Int'l Food Products and Processing Technologies Exhibition (WorldFood Istanbul)
  • September 15, 2018iba
  • September 25, 2018PPMA Show 2018
  • September 27, 2018Int'l Fruit Show (eurofruit)
AEC v1.0.4

find food jobs

The Magazine

F&D Business Preferred Suppliers

New Subscriber





Subscribe Here



Advertisements