Dale Farm’s new cheese plant to come on stream next week

​Dale Farm’s group chief executive, Nick Whelan, has confirmed that the company’s new cheese making operation at Dunmanbridge in Co Tyrone comes on stream next week.

​The facility constitutes an investment of £70M on the part of the farmer-owned co-

operative.

“Milk starts flowing through the plant for the first time on Monday morning next: December 9th,” Whelan further explained. The three year project is on time and on budget.

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Dale Farm's Rodney Stewart and Stephen McLean at the new plantplaceholder image
Dale Farm's Rodney Stewart and Stephen McLean at the new plant

“This is a red letter day for the cooperative, reflecting the confidence of Dale Farm in the future of its own business and that of Northern Ireland’sdairy sector as a whole.”

It is envisaged that the specification of the new cheese plant will deliver a value added future for Dale Farm.

Nick Whelan again. “One of the key drivers is our patented cheddar curd technology. We are currently exporting to 46 countries throughout Europe, Middle East and North Africa.

“Reducing our reliance on commodity markets will help deliver more sustainable returns to our farmer-suppliers on a consistent basis.

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Left to right: Dale Farm's Fred Allen, Chair, Nick Whelan, Group Chief Executive and Chris McAlinden, Group Operations Directorplaceholder image
Left to right: Dale Farm's Fred Allen, Chair, Nick Whelan, Group Chief Executive and Chris McAlinden, Group Operations Director

“The new cheese plant will play a key role in delivering this objective over the next 15 - 20 years."

The month of November saw milk supplies generated by Dale Farm members increase by 10% relative to the same period in 2023.

Nick Whelan again: “And we are tracking a similar trend for December. Dale Farm wants more milk, especially in the autumn/winter months.”

According to the Dale Farm representative, strong market signals are driving the significantly enhanced increase in milk volumes coming forward at the present time.

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Commercial dairy markets have strengthened considerably over the past 12 months. Adding to this is the now traditional winter milk bonus paid by Dale Farm.

“Our recently launched Milk Production Re-alignment scheme is also encouraging milk output,” Whelan commented.

“The scheme runs from August to January and provides an additional four pence per litre on all incremental milk supplied above each producer’s monthly base reference.

“However, the ratio of milk price to feed price is the most significant driver of milk output at the present time.

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“It is clear that dairy farmers can increase milk output significantly if the relevant market and price signals are brought into play.”

The issue of future milk supply trends is likely to be a major talking point at next week’s Royal Ulster Winter Fair. For its part, Dale Farm has developed a five-year business plan based on a projected 1.5% increase in annual milk throughput.

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“Many of our customers view Dale Farm’s ability to significantly increase its processing capacity over the coming years as a cornerstone of the business agreements they have reached with us,” Nick Whelan stressed.

Another key talking point at the Winter Fair will be Dale Farm’s plan to improve sustainability levels at farm level.

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“Carbon represents both an opportunity and a challenge for our farmer members,” Whelan confirmed.

“The issue was discussed in detail at our recent AGM and subsequent producer area meetings.

The Dale Farm CEO firmly believes that improving farm sustainability levels while also increasing milk output are not incompatible objectives.

He said: “The second phase of our ‘Future Strong’ sustainability programme has been launched this autumn, with clear requirements communicated to producers. As ever our farmer facing staff on the ground will be available to help and assist as and when necessary.”

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Nick Whelan concluded: “Sustainability is at the heart of every decision we make as a farmer owned cooperative.

“Through our ‘Future Strong’ programme, we are not only reducing our carbon footprint and improving our environmental sustainability, but ensuring our farmers have resilient, sustainable, and profitable farm businesses for generations to come.”

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