Closures wont hurt farmers – Crest

31 January 2001



Closures won’t hurt farmers – Crest

By Robert Davies

FARMERS will not lose out as a result of the decision by Dairy Crest to end operations on five sites in England and Wales, claims a director.

Dairy Crest, the UKs biggest milk buyer, said rationalisation was inevitable following the acquisition of Unigates dairy and cheese businesses last July.

Tom Jones, one of the companys two farmer directors, admitted the news was “very tough” for those who will lose their jobs.

But he said the company had a duty to shareholders and producers to develop a strong and efficient milk-processing company.

Mr Jones added: “I can reassure all farmers that they will not be affected adversely by the changes, and in the long term they will benefit financially from the rewards of improved efficiency.”

Anglesey farmer Mr Jones insisted that farmers transport costs would not rise, but Robert Voyle, Farmers Union of Waless milk committee chairman, disagreed.

He claimed that moving Welsh milk for processing to Gloucestershire rather than Cardiff would inevitably lead to higher transport charges.

He said: “The closure of the cheese-packaging facility in Carmarthen and the liquid milk plant in Cardiff, with the loss of 550 jobs, is a kick in the teeth for the Welsh dairy industry.”

However, Dairy Crest will create 170 new jobs at its cheese pre-pack operation at Maelor in northeast Wales.

Liquid milk sites at Thornbury in Gloucestershire and Kidlington in Oxfordshire will close with 330 job losses.

Changes in blue-cheese production will cause the closure of the Harby plant in Leicestershire and consolidation of production at Hartington in Derbyshire, with a net loss of 100 jobs.

Another 130 employees will go at Crudgington, Shropshire and Chard in Somerset as butter and milk-powder production are reconfigured.

Dairy Crest buys around 3 billion litres of milk a year and currently operates on 21 manufacturing sites and employs 9000 people.