15 August 2012

Arla Foods USA to close dairy in Muskegon, Michigan; Move production to Denmark

15 August 2012 - Arla Foods USA is focusing its efforts on premium speciality cheese under the Castello® brand and on establishing a sound platform for developing the US market for particularly high quality cheese. 

”We have some fantastic cheeses from our dairies in Europe and we believe we will have a unique role to play when it comes to the American speciality cheese market,” says the head of Arla Foods USA, Susie Møller Hjorth. 

“It means, however, that we need to focus our resources, which is why we have decided to withdraw our locally produced blue range under the Saga® brand from the market. Consequently, we are closing our dairy in Muskegon, Michigan.” 

The remaining production at Arla’s dairy in Muskegon will be moved to Denmark where production will be more efficient owing to the fact that it will be part of the total production for Arla’s global markets.

In the future Arla Foods USA plans to focus on Castello® with an expanded range which includes Havarti cheese and cheese from Allgaüland in the German Alps. Saga® Blue Brie, which has been sold in the US market for 30 years, will continue under the Castello® brand. Castello® Soft Blue will also continue.

The decision will take effect in the US market from 2013 and will only affect production of mould cheese. The production of yellow cheese at Arla’s other US dairy in Hollandtown, Wisconsin is unaffected

The transfer of production from Muskegon to Denmark will begin in the upcoming autumn. Production at Muskegon dairy will stop at the end of 2012. 

Arla Foods is a global dairy company and a co-operative owned by Danish, Swedish and German dairy farmers. It has production facilities in 13 countries and sales offices in a further 20, with a total of more than 17,000 employees. 

Source: Arla Foods