229 jobs are at risk at dairy processor Muller’s plants in Scotland, after the Bavaria-based processing giant unveiled plans to close down plants in East Kilbride and Aberdeen.

On Thursday, Muller announced the outcome of a review of its Scottish dairies, and confirmed that it plans to close facilities at East Kilbride and Aberdeen. Muller will launch a 45 day consultation on winding down production at the two plants, but said, “No decisions will be taken until the consultation period is complete and the business has had the opportunity to review its findings.”

In a statement the processor said “Both dairies are operating well below full utilisation with more than 60% of the capacity at Aberdeen dairy unused.”

The proposal comes just over four years after Muller bought out Robert Wiseman Dairies, which was based in East Kilbride. Late last year, Dairy Crest, based in South-East England, agreed to a Muller takeover.  

Farmers who currently supply the two threatened dairies will be required to pay the extra cost of transporting milk further afield. 43 farmers supplying the Aberdeen dairy will be expected to pay a 1.75 pence per litre transport charge to carry milk to Bellshill in North Lanarkshire. Those who do not agree to these terms will have their contracts terminated with 12 months’ notice.  

At the same time as announcing the planned closures, Muller promised to invest £15 million over the next three years in the dairy at Bellshill.

Commenting on Thursday, Andrew McInnes, Managing Director of Müller Milk & Ingredients said, “It is important to stress that the status quo is just not viable in the medium term. Our Scottish dairies are inefficient and costly which is putting a brake on the innovation and investment needed to stimulate new demand for dairy products. Our Aberdeen dairy is operating at less than 40% of its capacity and milk production from farmers in the North East is far in excess of customer requirements in the area.”

“Our small dairy in East Kilbride makes products including flavoured milks and potted cream and we believe that we can gain important efficiencies by relocating that production to Bellshill, which is nearby.”

He added, “We will enter the consultation with an open mind and will rigorously assess the situation and listen to our colleagues before arriving at a decision.”

However, Daniel Adams of trade union Usdaw which represents workers at the plants said, “The staff at Müller in Aberdeen and East Kilbride are understandably devastated by the company’s proposed closure of their sites. We will now enter into a full consultation process to interrogate the business case and do all we can to save jobs. We are providing our members with the support, advice and representation that they require at this very difficult and worrying time.”