The UK’s largest dairy products company, Dairy Crest, will spend £41m (US$60.6m)  to overhaul and extend its mature cheddar creamery in Cornwall.

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The company’s two flagship mature cheddar brands, Cathedral City and Davidstow, have enjoyed a sustained growth in demand, and the two-year investment plan will see production capacity increased by two thirds over the next ten years.


“This will provide an infrastructure to enable Dairy Crest to set new standards of excellence for the manufacture of high quality mature cheddar,” said chief executive John Houliston. “We are confident that this exciting investment will enable the group to capitalise fully on the successful brand development of Cathedral City and to profitably expand the branded sector of the UK retail cheese market.”


A margin squeeze on the mild cheddar commodity market as raw milk prices rocketed has led Dairy Crest to concentrate on the premium end of the market.

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