Müller UK & Ireland has announced the planned expansion of its Müller Milk & Ingredients arm, following the integration of Dairy Crest's liquid milk dairy business into its operations.
The group has appointed Brian Watson, who joins the business from Berkshire Hathaway-owned business Marmon, as the new chief financial officer of Müller Milk & Ingredients.
Müller Milk & Ingredients described the amalgamation of the Dairy Crest business as 'the biggest integration the UK dairy industry has ever seen', which will be responsible for the purchasing of 25% of the UK's farm gate milk.
Unlock Efficiencies
"This business acquired Dairy Crest’s liquid milk dairies to build scale and unlock greater efficiencies and benefit for customers," commented Patrick Müller, CEO, Müller Milk & Ingredients.
"Bringing these two very large organisations together has been a huge and unprecedented task with multiple challenges, requiring the alignment of multiple systems and processes.
"I am delighted to say that our team has now delivered a single organisation and platform for the future, on the schedule which we initially set out. We now have a competitive and unique proposition, having invested heavily in highly efficient factories, which optimise energy, water and wastage, and in a comprehensive logistics network."
Rethinking Packaging
Müller said that the business is investing in the use of recycled and lightweight materials in its packaging, while also seeking to insulate its farmers from 'the corrosive effects of extreme market volatility'.
“We will help customers with whom we have strategic partnerships to deliver distinctive and ownable propositions, including added-value products in the fresh-milk aisle, so that they can meet the promises they make to consumers," he said. "We have the capability, flexibility and management autonomy in the UK to do this."
On Brexit, Müller said that the extension of the Müller Milk & Ingredients business means that it can offer "continuity" in its UK manufacturing footprint, as well as "security of supply with products which are sourced from British farms, and manufactured here in Britain".
© 2018 European Supermarket Magazine – your source for the latest retail news. Article by Stephen Wynne-Jones. Click subscribe to sign up to ESM: European Supermarket Magazine.