Arla Foods’ Supervisory Board has approved the closure of the UHT production in Kimstad in Sweden and the transfer of this production to Esbjerg on the Danish West coast where Arla Foods already operates one of Europe's most advanced plants for this product type. Kimstad’s production of milk with low lactose content will be moved to Alingsås.
As part of the reorganisation, some of Alingsås current production of long-life products, including sauces, certain types of cream and flavoured milk will also be transferred to Esbjerg.
The move means that Kimstad's present staff of 100 will be cut by approximately 50 per cent, while staff levels at Alingsås will largely remain unchanged. There are no plans for expanding staff levels in Esbjerg.
The plans will now be discussed with the unions involved.