UK: Meadow Foods doubles Peterborough capacity
Meadow Foods expands capacity
UK independent dairy Meadow Foods is investing in doubling the capacity of its fresh products factory in Peterborough.
The group will spend GBP1.3m (US$2m) to ramp up its capacity to process fresh creams, milks and cultured products, which are sold to food manufacturers. The group will install automated technology it claimed will reduce waste and improve efficiency. Work is due to be completed by the end of the month.
In the coming year, Meadow Foods plans to spend a further GBP1.8m to install new mixer tanks, inline standardisation and on-site storage. Meadow said the move would improve quality and give it "the capacity to produce enough packed cream to satisfy the entire UK market".
The group said it has been able to ramp up investments on the back of a "very successful" 2012, when sales rose 13% and operating profit gained almost 5%.
"Our strong results have allowed us to embark on this exciting reinvestment project. By further improving our capacity and consistency of product we believe we will continue to grow the business and bring greater opportunity to both our farmers and customers alike," executive chairman Simon Chantler said.
- Analysis: Is Heinz, Kraft merger "a growth story"?
- M&A Watch: Who could be on 3G Capital's radar?
- The challenges awaiting ConAgra's new CEO
- Viewpoint: Faber-led Danone gets realistic
- Focus: Can Mars gain share in Indian chocolate?
- UPDATE: Heinz, Kraft strike merger agreement
- Fatal explosion at French desserts firm Senagral
- Kraft "in buyout talks" with Heinz owner 3G
- Infographic: Heinz, Kraft unveil combined business
- Buffett: Kraft Heinz to withstand health focus