Food and Beverage Business
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Arla boosts UK exports through capex investment

Arla boosts UK exports through capex investment Arla Foods Food and Beverage Business
In a strategic move, dairy giant Arla Foods has pledged additional capital expenditure for its UK manufacturing sites in 2024. During the UK Farm to Fork Summit hosted by the government to address food security on May 13, the company behind Lurpak announced plans to invest “tens of millions” of pounds in its local factories.
This investment will bring Arla’s total commitment to the UK in 2024 to over £300m ($377m), focusing on enhancing its production facilities in various regions. The cooperative intends to inject funds into its dairies and creameries in Lockerbie, Stourton, Aylesbury, and Westbury. The Stourton facility is set to receive £65m to boost its capacity for extended shelf-life milk and carton milk production.

Meanwhile, at the Aylesbury site, Arla will be investing in automated box packing capabilities to offer a wider range of packaging formats.

Bas Padberg, managing director of Arla Foods UK, emphasized the significance of the investment in UK food security, highlighting the support from farmer owners. He stressed the importance of maintaining a strong food supply chain for the UK market and ensuring fair returns to farmer owners.

Earlier in March, Arla revealed plans to expand mozzarella production at its Taw Valley site in a €210m ($227.6m) investment, catering to global demands for pizza toppings.

The cooperative described this move as the largest investment ever made in the UK. In a separate development, the company put its Melton Mowbray creamery, known as Tuxford and Tebbutt, up for sale.

This facility in Leicestershire employs around 60 people and reflects Arla’s strategic decisions in the UK market.



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