UK - Farmer-owned dairy company Arla Foods has announced its intention to close its fresh milk processing production facilities at its Hatfield Peverel dairy in Essex, England.
The proposal will result in the potential closure of Hatfield Peverel dairy by the end of July 2016, with the loss or relocation of up to 200 jobs.
Another 32 employees could be transferred to a logistics company, which Arla proposes will run its outbound logistics operations as part of a process to improve the business' model.
The company’s Aylesbury site, which now has the ability to process a billion litres a year after a significant ramp up operation since it opened in 2014, will take on the majority of Hatfield Peverel’s processing and smaller volumes of milk will be delivered to other Arla fresh milk dairies dependent on customer requirements.
Hatfield Peverel has the capacity to process 356,000 litres of milk per day and processes fresh milk for Arla's Cravendale and Big Milk brands plus own-label fresh and organic milk for major retailers.
Dan Kolding, Senior Vice President, Supply Chain, Arla Foods UK said: ”As a farmer-owned dairy company, our mission is to return the highest value for our farmers’ milk, creating opportunities for growth. The development of Aylesbury is helping us to deliver this vision in the UK, as the dairy approaches capacity.
”We are entering into full consultation with all colleagues affected by both proposals, and their trade union representatives. We are committed to supporting our colleagues at this difficult time and will do everything we can to support colleagues in their search for suitable alternative employment either within Arla or elsewhere.”
TheCattleSite News Desk