Arla Invests In Cottage-cheese Production At Swedish Dairy Plant

Credit: Arla Foods

Arla Foods is investing Skr70m ($7.4m) successful a dairy works successful Sweden arsenic nan cooperative seeks to summation accumulation of cottage cheese.

Denmark-headquartered Arla said nan finance successful its westbound seashore Falkenberg tract intends to boost yearly output of Keso branded cottage food by 1,500 tonnes. The target for this twelvemonth is 27,000 tonnes, which if realised would correspond astir a 17% emergence complete 2024, according to a statement.

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Arla clarified that nan task will attraction connected upgrading existing equipment, including filtration and cooling, alongside improving capacity and efficiency. The Falkenberg dairy, which chiefly supplies nan Swedish marketplace but besides exports to Finland, Denmark and Spain, presently has six packaging lines, nan co-op confirmed.

No further jobs will beryllium created astatine nan site, pinch nan workforce remaining astatine astir 130 people. However, Arla said unit numbers astatine Falkenberg person grown by astir 20% successful nan past 2 years arsenic cottage food request increased.

Arla claims Falkenberg is nan largest cottage-cheese manufacturing works successful Europe that besides produces nan Cheasy brand. The mill processes astir 130 cardinal kilograms of beverage a twelvemonth from its husbandman suppliers.

The finance will beryllium put to activity early successful nan caller twelvemonth pinch nan further capacity expected to travel connected watercourse successful nan last quarter.

Sweden generated €1.59bn ($1.85bn) successful gross for Arla past year, an summation of 3.6%. Total group gross climbed 0.7% to €13.77bn.

The state was besides earmarked for finance earlier this year, pinch €34.5m owed to beryllium ploughed into Arla’s facility successful Jönköping to footwear commencement accumulation of skyr.

Cream food was nan target for different task successful Denmark arsenic nan co-op group retired plans to put €59.4m successful its Holstebro Dairy.

April marked a cardinal improvement arsenic Arla announced a scheme to merge pinch German dairy adjacent DMK Group, taxable to regulatory approval. Just Food has asked nan Danish institution for an update connected proceedings coming (2 December).

Meanwhile, Arla issued first-half results successful August. Revenue was up 12.7% astatine €7.45bn while EBITDA registered a 5.5% summation to €540m.

EBIT roseate 6% to €282m but nett profit slipped 3.5% to €167m.