Anglesey dairy plant goes into administration
11th June 2024
Two administrators have been appointed and nearly half of Mona Dairy’s staff made redundant, after the plant failed to get sufficient funding.
Anthony Collier and Phil Reynolds of specialist business advisory firm FRP, were appointed joint administrators of Mona Island Dairy Limited on 7th June 2024.
Anglesey cheese plant Mona Dairy uses a supply chain of more than 30 local farms, and previously employed around 50 members of experienced staff.
Twenty-four employees have been made redundant.
Lack of funding
Mona Dairy’s facility is powered by renewable energy and has the potential to produce 30,000 tonnes of continental cheese a year.
It was the first in the UK to utilise electric lorries for milk collections.
In a statement at the end of May, the business said it had failed to source sufficient short-term funding from its key stakeholders to keep functioning in its current form.
Mona Dairy said an established dairy processing company would act as interim milk buyer and take milk in the short-term.
Finding a solution
New joint administrator and partner at FRP, Anthony Collier, said:
“Mona Island Dairy has a compelling proposition with its modern, sustainable facilities.
“Unfortunately, it’s not been able to raise the funding needed to continue operating and so sadly 24 employees have been made redundant and we are helping them to access support from the Redundancy Payments Service.
“We are now focussed on finding a solution for the business and invite any interested parties to come forward.”
A bitter blow
A spokesperson for the Farmers’ Union of Wales said the news will be a “bitter blow” to Mona Dairy’s 31 milk suppliers, staff, investors and the wider rural economy.
“This state of the art facility was ambitious and innovative and its financial problems are devastating news for Anglesey and the agricultural industry.
“Dairy farmers throughout Wales are facing an unprecedented period of uncertainty, having dealt with the difficulties of a long wet winter alongside the continuing turmoil of changes to future agricultural support and red tape.
“We hope that as a result of a weak spring flush and an improving dairy commodities market, other milk processors will be in a favourable position to support the milk producers currently supplying Mona Dairy.”
FUW members affected by the news can contact their county offices for guidance and support during this challenging time.
Distressing news
Responding to the news a Welsh Government spokesperson said:
“This is clearly distressing news for the employees and suppliers of Mona Dairy, their families and the local community.
“We are in contact with the company to see how we can support them and their workforce through this process.”
The spokesperson added: “We will deploy all resources available to us to support the staff to get the full range of support they need.
“We have also met with the farming unions following this announcement to discuss their members concerns.
“The welfare of farmers is a priority and farming unions are working with their members to ensure farmers have the necessary support available at this time.”
Read more livestock news.
