Dairy Crest announces £85m cheese business investment

By Jim Cornall

- Last updated on GMT

The investment will enable Dairy Crest to process an additional 200m liters of milk every year.
The investment will enable Dairy Crest to process an additional 200m liters of milk every year.

Related tags Dairy crest Milk Cheese

UK dairy company Dairy Crest has announced it is investing £85m ($113.6m) in growing the capacity of its cheese business, £75m ($100m) of which will be invested at its Davidstow, Cornwall, plant.

The investment will allow further growth of the company’s cheese brands Cathedral City and Davidstow, enhance whey production capacity and support farmers and economic growth in the South West of the UK.

The investment will enable Dairy Crest to process an additional 200m liters of milk every year, increasing the company’s annual cheese production capacity from 54,000 tonnes to 77,000 tonnes over the next four to five years. The company’s whey production at the site, largely used for the global infant formula market, will grow proportionally.

This increase in capacity at Davidstow, which employs around 200 people, will enable Dairy Crest to respond to the growing cheese market in the UK, including convenience and snacking products, and on growing demand internationally in Europe, China, the US and the Far East.

Investing in farmers

Dairy Crest said it wants to work closely with its farmers to increase milk volumes to create a further boost for the region’s rural economy. In consultation with its independent dairy producer organization, Dairy Crest Direct, the company has recently introduced a new milk pricing schedule that will be simpler to manage and will reward those farmers who supply milk with the most suitable composition for the manufacture of the company’s cheeses and demineralized whey.

Dairy Crest said it has also invested in its Farm Business Team, which liaises directly with farmers, to support them at this time of growth.

The investment in Davidstow will also reduce the environmental impact of the creamery by significantly reducing its water usage, the company said, increasing the amount of water recycled back into the creamery and becoming more energy resilient.

Related topics Manufacturers Cheese