West Country cheesemaker Denhay Farms is stopping cheddar production due to rising milk production costs and market competition.

The company had been producing West Country Farmhouse Cheddar for more than 50 years but ceased production on 3 June, after it became too difficult to recover cost increases from the marketplace or compete effectively with other cheese producers for new business.

Current stocks mean the company anticipates having about a year’s worth of cheese to sell for the remainder of the year, with some varieties being sold into 2014.

“As Denhay owns its own cows, the milk previously used for cheese production will be sold as the business develops relationships with processors,” said a company spokesperson. “Denhay is committed to the UK dairy industry and this area will remain an important part of the business.”

The company hoped to redeploy the 10 people employed in cheese production to other parts of the business, which also produces a range of hand-cured bacon.

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