MILK PRODUCERS supplying the Llangadog creamery in Carmarthenshire will be unaffected by the plant”s closure, says Dairy Farmers of Britain.

A spokesman for DFoB said most of the milk from the 200 farms supplying the factory would be diverted to the company”s other Welsh sites at Cardiff and Llandyrnog, with no disruption to farmers. “We still want this milk. This doesn”t affect dairy farmers whatsoever.”

CONTRACTS

Some milk would be processed on contract by other firms, but this was not expected to affect milk prices, the firm said. The Llangadog creamery was bought by DfoB last August as part of its acquisition of Associated Co-operative Creameries and had been losing money, said the spokesman. The plant, which processed 210m litres last year and produces UHT milk, tinned custard and rice pudding, is expected to close in July at a cost of 172 jobs.

‘BITTER BLOW’

A spokesman for NFU Cymru said the news was a “bitter blow” to the local people and economy. “This comes at a time when there is already uncertainty for dairy farmers in Wales. I am relieved that DFoB has indicated the supply contracts of both members and direct suppliers will not be affected.” In a statement, Welsh agriculture minister Carwyn Jones said he hoped a buyer could still be found for the plant, and his department would consider any approach for financial assistance.