Müller to close Foston dairy in Derbyshire
Müller Milk & Ingredients (MMI) has confirmed that it is to wind down production at its Foston dairy in Derbyshire with the potential loss of 223 permanent jobs. The dairy is set to cease operations by the end of the year.
The decision follows a review of the company’s dairy network which examined factory utilisation against a backdrop of declining consumption of fresh milk and significant changes in retailing.
During the review, Foston dairy was identified to be most at risk due to its size and inability to absorb significant production volume from other dairies, its current level of utilisation and its geographical position relative to customers.
Most dairy farmers who supply Foston will be unaffected with milk switched to be processed at other dairies, but the company will be in direct contact in the next week with a small number of farmers who are located in areas not close to other dairies in the MMI network, to discuss and consider future options for their milk.
Patrick Müller, Chief Executive at Müller Milk & Ingredients said: “We fully recognise that this decision will be devastating for our employees at Foston, but if we are to have any prospect of building a fresh milk business which is sustainable in the short and longer term, we need to make significant changes to reduce our costs.
“Wherever possible, we will offer our colleagues opportunities to relocate within our network, and we will do everything we possibly can to support those who do not wish to relocate or for whom there are no roles.”