Dairy giant FrieslandCampina has offloaded a production facility in Germany to local firm Uckermarker Milch.

The company, which formed late last year after the merger of Dutch dairy groups Friesland Foods and Campina, said no jobs would be lost as a consequence of the deal, which was struck a for an undisclosed sum.

Norbert Reuss, operations director for FrieslandCampina in Germany, said: "From the outset our central priority with the sale was to ensure that the employees would retain their jobs and to safeguard the economic future of the dairy farmers in the region."

The Prenzlau facility produces quark, butter,milk powder and industrial products. FrieslandCampina said it plans to move part of its production to Cologne, where it will spend some EUR10m (US$13.2m) upgrading production and logistics.