Japan's Meiji Dairies has decided to close two of its three dairy product facilities in Kansai in a bid to boost efficiency ready for the construction of a new facility in Kaizuka, Osaka.

The two plants, one in Yao, Osaka and one in Kakogawa, Hyogo, are to be closed at the end of 2005, reported the Nihon Keizai Shimbun.

The new Kaizuka plant is expected to cost around ¥10bn (US$91.9m) and is to begin operation in October 2005.