Cornwall-based Trewithen Dairy has secured a £1m deal to supply chilled dessert company Kensey Foods with all its milk.
The deal will see up to 75,000 litres of milk a week supplied, mostly from farms within 20 miles of the Trewithen dairy.
“It fits well with our growth plan and in particular our aim of adding value to Cornish milk,” said Trewithen managing director Bill Clarke. “It is a big plus for the economy and the environment, with more milk produced and used in Cornwall, securing local jobs and reducing food miles.”
Work has started on the first phase of an £11.4m development programme at Trewithen. The work has been supported by a £5.7m grant, the biggest awarded to date under the Rural Development Programme for England in the south-west.