Swedish dairy company Milko is to shut down two of its facilities with the loss of 173 jobs.
The firm told just-food today (15 July) that it had informed employees yesterday that its Karlstad plant will close in February 2011, while the Sundsvall facility will close by the spring.
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Based in Östersund, Milko is one of Sweden’s largest dairy companies producing milk, juice, yoghurt, butter, soft whey cheese, soft and hard cheeses and powdered milk.
A spokesperson for Milko told just-food: “We will close two [facilities] and we will keep two open. The reason is mainly because there are not as many farmers as there use to be in this area of Sweden so there is less milk now.”
The firm said the remaining two facilities will not face closure and that Karlstad-based dairy firm Falkoping will now supply the firm with milk.
The spokesperson insisted that the closures will not have a negative effect on the business.
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By GlobalData“[The closures] will be very good for the business. We will work between the two dairies we have left and hopefully this will give us a better economy and it will mean money to the farmers in the long run.”
