As part of the agreement, it is proposed that Arla will transfer some of the retail milk volume from Claymore to Lockerbie and will open a distribution hub in Dundee to service its retail customers that are based in the Highlands.
Subject to the consultation, approximately 65 positions will become redundant at Nairn dairy, though new roles will be created at Dundee and Lockerbie.
North Milk Coop has been offered a milk supply agreement in which Arla Foods and Claymore Dairies will purchase its milk.
Commenting on his decision to lead the MBO, Ian Larg, operations director at Nairn dairy, said: “We’re delighted to have been given the opportunity to purchase the rest of the Claymore Dairies business, as we believe that there’s a strong appeal in the area for locally produced and processed milk. Our proposals, which include the setting up of a new company, will secure many of the jobs at the dairy and also the future of the site.”
Lars Dalsgaard, business group director, supply chain at Arla Foods, said: “The viability of the site has been under review for some time. The site’s management team approached us about the possibility of them leading a management buyout of part of the business from Arla. After considering the team’s proposal, we came to the conclusion that an MBO was the best solution for all parties. Unfortunately, subject to the consultation process, the decision could lead to a number of redundancies, but we believe that the buyout will secure the future of the site and the remaining jobs.”
Source: Arla Foods
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