ABN plans redundancies and looks to sell off feed mills

Major pig and poultry feed manufacturer ABN is looking to sell off a number of its sites as going concerns, in a bid to turn around the firm’s finances.

ABN, part of AB Agri, a subsidiary of Associated British Foods (ABF), was dealt a blow in April last year when it lost a major feed contract with 2Agriculture.

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It is understood that about 15 redundancies are being discussed at its Flixborough mill, near Scunthorpe, although ABN was not willing to comment given the ongoing consultation with staff.

A spokesman for the Unite union said: “We are looking to support our members where redundancies are taking place and where they are planned, giving our members the support they need at this difficult time.”

ABN feed mills at Cullompton in Devon and Langwathby in Cumbria are both up for sale or lease as going concerns, though a buyer is yet to be secured.

Several sources told Farmers Weekly that if a buyer were not found, both sites could be closed, with roughly 65 potential redundancies at Cullompton and 35 at Langwathby.

However, ABN stated that no final decision had been made and staff were working to avoid closures and mitigate further redundancies.

ABN is also exploring the sale or lease of mills at Bury St Edmunds in Suffolk and Enstone in Oxfordshire, as well as an AD plant in North Yorkshire.

Comprehensive review

A statement from ABN said: “Following a comprehensive review of our operations and manufacturing footprint, we are taking action to secure the long-term sustainability of our business.

“This means sharpening our focus on core product offerings and optimising our sites to better serve our customers’ evolving needs.

“As a result, we are exploring options for the future of our Cullompton, Langwathby, Enstone and Bury St Edmunds mills, and the North Yorkshire AD plant, including the potential sale or lease of these sites, and will say more on this as soon as we can.”

ABN general manager Jonny Lester added that customers remained integral to every decision made.

Mr Lester said: “The actions we are taking reinforce our commitment to delivering high-quality and reliable animal feed products, today and for the future.

“We are acutely aware of the uncertainty that these difficult but necessary changes are creating for our colleagues at the affected sites.

“We are working hard to communicate as transparently as possible and to offer support to those who are impacted.”