Arla Foods has announced a proposal to invest 800 million DKK in its dairy facility in Lockerbie, Scotland, while simultaneously closing the dairy in Settle.

With this investment, Arla aims to establish a center of excellence for UHT and lactose-free milk production at the Lockerbie facility. Speaking about the investment proposals, David Boulanger, Executive Vice President and Head of Supply Chain, said:

• We have chosen Lockerbie as a future UHT centre of excellence in the UK as it allows us to build scale, drive significant efficiencies and strengthen our resilience. Located close to a large milk pool, Lockerbie brings additional sustainability advantages with our recently invested anaerobic digestion plants. The new investment will enable us to increase UK production capabilities in UHT and Lactofree technologies, supporting further growth with our strategic customers in the UK.

If the investment proceeds as planned, it will impact two other dairy facilities in the UK, particularly the Settle dairy in Yorkshire, which is proposed for closure.

• This investment for Lockerbie implies that we are proposing to move some production from other sites in the UK and as a result, will potentially impact some of our colleagues in Stourton and Settle. At Arla we are committed to supporting all colleagues through periods of change and we understand that this will be a time of uncertainty for everyone who works across these sites. We will be entering into a period of consultation with all colleagues affected by these proposals.

Read the full press release HERE

Photo. Arla