Speaking to FoodManufacture.co.uk as Arla began commercial production of cottage cheese at its £70m Stourton dairy, a spokeswoman said rumours circulating in the trade and the City about a Slough/Uxbridge location were not true.
She would not disclose the correct location of the £150m dairy or whether planning permission had been granted, but said it remained on course to become operational in 2012, with an announcement about its initial capacity and precise location "on the outskirts of London" to follow shortly.
Cottage cheese
By supplying 7,000t of own-label cottage cheese to Tesco and Asda, Arla will gain a 50% share of the UK cottage cheese market overnight, with further gains likely as it increases production to 10,000t by 2012.
Its entry into the market has dented the fortunes of chilled food firm Uniq, which warned it would experience "a significant reduction of cottage cheese business in the second half”.
A strategic review of its cottage cheese production facility at Evercreech will be completed in the autumn.
Arla is using a single drum of cottage cheese curds before filling separate product blenders where different flavours or dressings are added.
Its new products – which are now on sale at Tesco and due to hit shelves at Asda in September – include 150g ‘taster’ pots containing red pepper pesto and pineapple and passion fruit with cottage cheese.