It was announced this week that the European Commission has agreed to refer to the UK competition authorities part of the proposed merger between Arla Foods and Express Dairies plc.
The Office of Fair Trading will now examine the possible impact of the merger on the supply in the UK of fresh processed milk and fresh non-bulk cream.
As part of the European Commission's initial review it concluded that the merger provides no concerns surrounding the procurement of raw milk. As a result, the OFT will not be considering this area.
Arla Foods UK plc is home to some of the UK’s leading dairy brands including Cravendale, Lurpak and Anchor. Processing approximately two billion litres of milk a year Arla continues to be one of the UK’s leading dairy companies and a supplier of fresh liquid milk and cream to the top seven retailers.
Over 2,500 daily deliveries are made directly to stores nationwide and Arla brands can be found across the dairy category. As well as the leader of the butter, spreads and margarine sector, and a major supplier of other added value products including flavoured milk and cheese, Arla continues to build working relationships with Arla Foods Milk Partnership, a unique group of dairy farmers, which supplies around 90 per cent of Arla's total milk requirements.
Behind this leading business is a team of circa 2,800 people across the UK located at our dairies, distribution centres and head office.