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Dairy Crest closure plan in Whitland puts 31 jobs at risk | Dairy Crest closure plan in Whitland puts 31 jobs at risk |
(about 2 hours later) | |
A dairy in Carmarthenshire could close with the loss of 31 jobs, only nine months after being taken over. | A dairy in Carmarthenshire could close with the loss of 31 jobs, only nine months after being taken over. |
Proper Welsh Milk in Whitland was taken over by Dairy Crest in March this year. | Proper Welsh Milk in Whitland was taken over by Dairy Crest in March this year. |
Dairy Crest said that due to lower sales and higher costs it is now impossible to operate the site economically. | |
The Farmers' Union of Wales (FUW) described the proposed closure as a "major blow" to the region's capacity to process milk locally. | |
Dairy Crest closed a creamery at the site in 1994 whilst Proper Welsh invested £1.5m there in 2011. | Dairy Crest closed a creamery at the site in 1994 whilst Proper Welsh invested £1.5m there in 2011. |
A consultation period has started with workers over the proposed closure. | A consultation period has started with workers over the proposed closure. |
Dairy Crest had bought the business from administrators. | Dairy Crest had bought the business from administrators. |
Mark Allen, the chief executive of Dairy Crest said: "We are disappointed that it has not been possible to make a success of Proper Welsh." | Mark Allen, the chief executive of Dairy Crest said: "We are disappointed that it has not been possible to make a success of Proper Welsh." |
He said the company would do all it can to help employees at the dairy. | He said the company would do all it can to help employees at the dairy. |
"We will also work with customers to offer them alternative packing arrangements and ensure there is no disruption to their services. | "We will also work with customers to offer them alternative packing arrangements and ensure there is no disruption to their services. |
"We remain committed to the Welsh dairy sector and are continuing to recruit farmers and invest in milk collection facilities around Carmarthen," Mr Allen added. | "We remain committed to the Welsh dairy sector and are continuing to recruit farmers and invest in milk collection facilities around Carmarthen," Mr Allen added. |
Proper Welsh invested £1.5m at the site in 2011. At the time it said it would create 14 jobs, increasing to more than 40 later. | Proper Welsh invested £1.5m at the site in 2011. At the time it said it would create 14 jobs, increasing to more than 40 later. |
Before that a Dairy Crest creamery at the Whitland site closed in 1994 with 150 job losses. | Before that a Dairy Crest creamery at the Whitland site closed in 1994 with 150 job losses. |
The FUW described the proposal to close the dairy at Whitland as a "major body blow for the region's capacity to process milk locally". | |
Vice president Brian Walters, who runs a dairy farm near Carmarthen, said: "There is already a lack of processing capacity for milk in Wales and this move, so soon after Dairy Crest took over the dairy, comes at a time when there are increasing calls for more local processing. | |
"As a local dairy farmer I think it is a great pity because we need more processing capacity in Wales, not less, to help cut down on food miles and prepare ourselves for the abolition of Milk Quota in 2015. | |
"If we are hoping to produce more milk in the future to meet an expanding market, we need to be able to access more processing capacity locally, not further away." |
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