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Page last updated at 12:51 GMT, Wednesday, 10 June 2009 13:51 UK

MP criticises dairy deal 'snub'

Kirkcudbright factory
Milk Link has proposed the closure of its Kirkcudbright site

An MP has criticised a dairy firm for moves to take over a Welsh creamery - shortly after announcing plans to shut a plant in southern Scotland.

Milk Link has announced a deal to buy the Llandyrnog site, saving 160 jobs.

However, last month it unveiled plans to shut its own dairy in Kirkcudbright with the loss of 121 posts.

MP Russell Brown said the move seemed like an "astonishing snub". Milk Link stressed the two factories were not in the same sector of the dairy industry.

There were fears for the Welsh factory after the co-operative Dairy Farmers of Britain (DFOB) went into receivership last week.

We are a farmer-owned business and our first responsibility is to ensure there is a sustainable future for our farmers
Will Sanderson
Milk Link

However, Milk Link has agreed to take over the plant and the deal is expected to be completed by Friday.

Mr Brown, Labour MP for Dumfries and Galloway, has criticised the move.

"I know the reaction already from local workers and members of the community to this news is that it looks like an astonishing snub to Kirkcudbright," he said.

"At the very least, the timing of the purchase of the creamery in Wales seems extremely insensitive when 120 jobs in Kirkcudbright are set to be axed by the firm."

However, Milk Link has pointed out that the Welsh plant differs significantly from the Scottish site.

'Successful business'

Corporate affairs director Will Sanderson said: "It is a cheese creamery, it is not in the same sector as Kirkcudbright which is a long-life milk plant."

He said the Dumfries and Galloway site was loss-making and the decision had been taken to consolidate that part of the business at a facility in Devon.

"Our focus is to try and generate as high a return as possible for our members," he said.

"We are a farmer-owned business and our first responsibility is to ensure there is a sustainable future for our farmers.

"It is part and parcel of trying to ensure we continue to be a successful business."



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SEE ALSO
Deal to save creamery within days
08 Jun 09 |  North East Wales
Dairy co-op collapse job fears
04 Jun 09 |  North East Wales
Dairy Farmers enters receivership
03 Jun 09 |  Business
Dairy loss impact 'considerable'
14 May 09 |  South of Scotland
Dairy firm proposes plant closure
13 May 09 |  South of Scotland

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