Press release

Arla Foods to consolidate butter production at Westbury Dairies

Arla Foods is to manufacture retail packet butter at Westbury Dairies, from August 2011.  The move follows the announcement in September that Arla Foods UK was to become a shareholder with First Milk and  Milk  Link  in Westbury  Dairies  Limited.

 All  three  parties  have  been  examining  ways  in  which  the  potential  of  the  Westbury  site  can  be  developed  and  the  board  has  agree  that  Arla  Foods  will  operate  the  existing  butter-making  facility  at  the  site.  

 Arla  will  also  build  a  dedicated  butter  making  and  packing  facility  for  retail  products,  in  addition  to  continuing  production  of  bulk  butter.  Circa  60  jobs  will  be  created  at  Westbury  Dairies  as  part  of  the  initiative.  

 Historically,  Arla’s  retail  own  label  butter  has  been  produced  at  Settle,  in  North  Yorkshire,  as  well  as  Götene  in  Sweden  and  Varde  in  Denmark.  The  move  to  produce  butter  at  Westbury  consolidates  Arla’s  UK  own  label  butter  requirements  into  one  site,  and  significantly  reduces  food  miles  and  transport  costs.   

 Peter  Lauritzen,  CEO  of  Arla  Foods  UK  plc  comments:  “Today’s  announcement  is  strategically  important  for  Arla  by  enhancing  our  environmental  credentials  in  line  with  our  carbon  reduction  strategy,  and  further  reinforces  our  commitment  to  the  UK.    

 “The  initiative  is  also  in  line  with  our  commitment  to  develop  the  potential  of  the  Westbury  facility  and  secure  its  long-term  future.”  

 Westbury  complements  the  business’s  other  major  butter  production  facility  at  Holstebro  in  Denmark  and,  potentially,  will  result  in  the  closure  of  production  lines  at  Settle  and  Götene  and  the  closure  of  the  Varde  site.   

Arla Foods UK plc is home to some of the UK’s leading dairy brands including Cravendale, Lurpak and Anchor. Processing approximately two billion litres of milk a year Arla continues to be one of the UK’s leading dairy companies and a supplier of fresh liquid milk and cream to the top seven retailers.

Over 2,500 daily deliveries are made directly to stores nationwide and Arla brands can be found across the dairy category. As well as the leader of the butter, spreads and margarine sector, and a major supplier of other added value products including flavoured milk and cheese, Arla continues to build working relationships with Arla Foods Milk Partnership, a unique group of dairy farmers, which supplies around 90 per cent of Arla's total milk requirements.

Behind this leading business is a team of circa 2,800 people across the UK located at our dairies, distribution centres and head office.

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