Dairy firm proposes plant closure

Chief Executive Neil Kennedy said that as a farmer-owned co-operative Milk Link's main aim had to be to deliver "sustainable returns" for its members.

"Kirkcudbright currently processes 35 million litres of milk and cream a year, which represents a 25% utilisation of its overall capacity," he said.

"Over the last three years, Milk Link has attempted to build a sufficient volume of profitable new business to make the site sustainable."

Mr Kennedy said that while some progress had been made it was decided that it was no longer viable to operate two sites.

As a result, production from Kirkcudbright would be transferred to Devon.

Assistance sought

"It is important to stress that the proposed closure is not a reflection on the hard work and commitment shown by our employees at Kirkcudbright," added Mr Kennedy.

"We are, of course, very conscious of the impact this will have upon them.

"We will be consulting with those affected and their representatives on the implementation of a comprehensive programme of support to help mitigate the effect of this strategic review."

He said that despite the proposed closure Milk Link would remain a "major force in the Scottish dairy industry" with its Lockerbie creamery processing 250 million litres of milk.

South of Scotland SNP MSP Alasdair Morgan said he was disappointed by the move.

"This is bad news for Kirkcudbright and my thoughts are with the employees affected and with their families," he said.

"I hope to raise the issue of the closure with the first minister and ask him what assistance the government can offer to those affected.

"The loss of 120 jobs in the Stewartry is as bad as 1,000 in the central belt and I hope that the seriousness of this announcement will be recognised and assistance forthcoming."
(Source: http://www.xhumanhealth.com/1266/dairy-firm-proposes-plant-closure/)