Dairy

Factory ceases production

by
January 30, 2018

While the Murray Goulburn plant doesn’t officially close until January 31, last Wednesday was the final day of production.

It was a sad day for the workers, their families and Rochester. It comes as Saputo takes over the business.

While the plant will shut, transport is still going strong, however it is not known for how long.

Saputo chief executive Lionel Saputo Jr said in November there were no plans to reopen the Rochester site if Saputo was successful, but he left the door ajar if milk was to return to the business.

‘‘We trust the evaluation that the MG management has taken,’’ he said.

‘‘Again, with 1.9billion litres of milk there isn’t enough milk in the system to support those plants reopening.

‘‘Until such time we come back to a higher level of milk and need incremental capacity, I don’t think the plants will open up.’’

Mr Saputo said there were opportunities to drive efficiencies and ‘‘shave some costs’’ in the MG business, pointing to ‘‘something as simple as leasing space MG may have or perhaps some other expenses that may not be necessary’’.

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