French dairy giant Danone has denied reports that it is to move production from its Benesov plant in the Czech Republic to facilities abroad.

It had been reported that Danone planned to quit its milk processing operations in the country and continue in the Czech Republic with distribution only.

A spokesman denied the reports, saying the company had no plans to move production to another country from the Czech Republic.

The reports had been sparked by speculation following the movement of equipment from the Benesov plant to Danone’s plant in Poland.

The company spokesman said the dispatch of equipment was part of a routine exchange and should not be associated with a plan for a production shift or with a decrease in production capacity in Benesov, reported the Czech News Digest.