In a recent development, Saputo Dairy UK has announced its decision to terminate contracts with a limited number of dairy farms supplying milk to its Davidstow facility in the southwest region. The company has assured support for these farmers over the next 12 months as they navigate this transition. This move comes on the heels of plans to close the Kirkby Malzeard plant in North Yorkshire, which would affect 80 employees and shift most operations to Nuneaton, Warwickshire. Despite these changes, cheese production at the Wensleydale Creamery in Hawes will remain unaffected, and local suppliers will continue their operations. The restructuring aims to enhance long-term efficiency and adapt to market demands while preserving product quality.

The decision by Saputo Dairy UK reflects a broader strategic realignment within the company. A spokesperson noted that although the choice was made cautiously, it is essential for ensuring the sustainability of the business. The company expressed pride in the high-quality milk produced by its supplier farms, emphasizing the importance of maintaining standards even during transitions. The affected farms will receive comprehensive assistance throughout the notice period, underscoring Saputo's commitment to supporting its partners during challenging times.

Additionally, the proposed closure of the Kirkby Malzeard plant highlights the company's efforts to streamline operations. Announced in January 2025, this closure would lead to the relocation of activities to the newly upgraded Nuneaton site. The investment in Nuneaton signifies Saputo's dedication to achieving greater operational efficiencies and reducing costs. By consolidating resources and optimizing processes, Saputo aims to better respond to market dynamics while ensuring the continuity of its renowned cheese products.

Despite the significant changes underway, Saputo has reassured stakeholders that core operations will not be disrupted. Cheese production at the Wensleydale Creamery in Hawes will proceed as usual, and local supplying farms will maintain their roles. The company's focus remains on balancing necessary adjustments with the preservation of product excellence. Through these strategic moves, Saputo seeks to secure a sustainable future while continuing to meet consumer expectations.