Staff at two former Milk Link dairies in Devon and Cornwall have been told there are no plans to transfer liquid milk production to Bridgwater, Somerset, when new owner Robert Wiseman Dairies opens a £46M plant there next year.
Wiseman got the green light from regulators last month to buy Peninsula Milk Processors in Okehampton, Devon and Newlands Farm in Pensilva, Cornwall in a £5.5M deal. The sites had been supplying 32M l/year to retailers in the south west.
"We will shift production around within our business when our new Bridgwater dairy opens next autumn, chiefly to reduce food miles," said Wiseman.
"But it would be wrong to jump to the conclusion that we will close the Milk Link plants when Bridgwater comes on line. The sites are well invested and produce some distinctive products. Besides, we wouldn't be building a new dairy if we didn't think we could fill it."
It said that Bridgwater would take pressure off its Droitwich and Manchester dairies, which were bursting at the seams.
"The first phase should be complete in autumn 2007 and orders have already been placed for processing and filling equipment, with an initial capacity of 200Ml/year at a cost of £46M," it added.
Wiseman claimed to supply about 1.4bn litres of milk a year and to have 24% of the UK market.