Arla Foods is set to cease operations at one of its UK creameries after failing to find a suitable buyer for the site. The dairy major announced its plans to close down the Melton Mowbray creamery, known locally as Tuxford and Tebbutt, last week. The plant in Leicestershire in England’s East Midlands employs around 60 people and produces Stilton cheese. According to Arla, the Melton Mowbray site is one of six creameries in the world permitted to make Blue Stilton.
The company had put the Melton Mowbray site up for sale in January but failed to find a suitor. The decision to close the creamery was made after efforts to find a buyer proved unsuccessful. Arla is now entering into a period of consultation with the affected colleagues, with a focus on supporting them during this challenging period.
Arla has eight dairy sites in the UK, including Taw Valley Creamery in Devon, Trevarrian in Cornwall, and Stourton Creamery in Yorkshire. Last month, the company announced increased investment in the UK, with plans to invest more than £300m ($377m) in 2024. This investment will strengthen the company’s presence in the UK and support its local factories.
On the day of the UK Farm to Fork Summit convened by the government to discuss food security, Arla revealed plans for significant investment in dairies and creameries. The cooperative intends to invest in facilities at Lockerbie, Stourton, Aylesbury, and Westbury. Specifically, the Stourton facility will receive £65m to enhance capacity for extended shelf-life milk and carton production.
In conclusion, Arla’s decision to close the Melton Mowbray creamery highlights the challenges in finding a suitable buyer for the site. Despite this setback, the company remains committed to investing in its UK operations to strengthen its position in the food and beverage industry.