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Europe: Arla invests £37.5M in the UK

Arla Foods UK plans to invest approximately £37.5 million1 (US$47.52 million) in its UK sites and logistics in 2017, an increase of 51% from 2016.

“Last year, I unveiled the most ambitious UK business strategy to date to make Arla a household brand by 2020 and grow its revenue by nearly a third,” Said MD Tomas Pietrangeli.

“This ambition is part of the company’s global strategy for growth and will position Arla as the champion of British dairy.”

“By continually investing and improving our sites, we can ensure we grow capacity, maintain high quality of our products and ultimately return the best possible price to our farmer owners.”

The UK figure is part of the £285 million investment the company expects to make at its sites around the world.

It will support its global Strategy 2020 by moving more milk from bulk into branded, own label and foodservice sales.

The overall investment forecast is nearly 50% increase compared to last year (£192 million in 2016) and one of the highest ever single-year supply chain investment in the company’s history.

The £37.5 million will be spread across all its thirteen UK production, packing and distribution sites as well its logistics operation.

The global investment figure will be focused on production upgrades at core markets such as Germany, UK, Denmark and Sweden as well as on production sites that supply high-quality dairy products to Arla’s emerging markets outside the EU.

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