FDBusiness.com

UK dairy co-operative Dale Farm is investing £70 million in its cheddar processing facility at Dunmanbridge, County Tyrone. The expansion will mark one of the largest ever single investments by a Northern Ireland agri-food company. The plans will see Dale Farm integrate state-of-the-art technologies and equipment at the site, boosting production and making significant sustainability gains as the co-operative builds on its expertise as a leading European cheddar manufacturer.

The investment comes on the back of successive years of impressive growth for the co-operative, and in response to continued customer growth across the UK, Europe and beyond, with the site already exporting cheddar to 40 countries worldwide.

Nick Whelan, Group Chief Executive at Dale Farm, said the investment will support growth and capability for the co-operative, and position Dale Farm as a leading cheddar player in Europe.

“Dale Farm has built a strong reputation as a leader in cheddar production, and thanks to our reputation for quality, sustainability and consistency, we are seeing strong customer growth in the category,” he commented. “Key to our success is the dedication and ingenuity demonstrated on a daily basis by our team right across the business. We are already exporting to 40 countries, and with this investment we want to build on that momentum and future proof our operation at Dunmanbridge for decades to come.”

Work on the expanded operation at Dunmanbridge is well underway and is on track to go live in February 2025. As well as improving and replacing existing site-wide services and utilities, the expansion will include a new high speed automated cheese slicing line, an increased warehouse footprint and investment in new patented products and processes.

The investment will increase the site’s cheese capacity by 20,000 tonnes per year, while also expanding its WPC (whey protein concentrate) capacity. It will incorporate the integration of advanced energy efficient technologies which together with new production processes will reduce the site’s carbon footprint by an estimated 4,500 tonnes per year when compared against milk powder production.

Nick Whelan added: “We want to continue to lead the sector in Northern Ireland and beyond and cement our region as a global leader in quality, sustainability, and innovation. We have been granted a patent for cheddar produced at the site and are onboarding new technologies and digital transformation. We’re also investing in sustainability and as a result of this expansion our carbon footprint will see a significant reduction, marking another important milestone on our journey towards net zero.”

The Dunmanbridge site currently directly supports over 1,100 families in the local area, with 345 employed at the facility and a further 760 farms, out of Dale Farm’s 1280 milk producers, supplying milk to it.

Nick Whelan said: “The sustainability and profitability of our farmers and their businesses are at the heart of every decision we make as a cooperative. Thanks to the success of our strategy and growth, we are in a position where we can make an investment of this scale while continuing to pay a competitive milk price.

“This investment will be transformative not just for Dale Farm, but for the Northern Ireland rural economy. We have big plans for the future and are looking forward to the next step of this journey.”

Dale Farm is owned by 1,300 dairy farmers across Northern Ireland, England and Scotland. Selling its products to 45 countries world-wide, Dale Farm operates from 8 sites across the UK and employs 1,200 people.

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Pictured left to right: Fred Allen, Chairman of Dale Farm; Nick Whelan, Group Chief Executive of Dale Farm; and Chris McAlinden, Group Operations Director of Dale Farm.