Arla UK’s revenues rise by 22 per cent

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DAIRY company Arla today revealed that its UK revenue rose by 22 per cent to £2.2bn last year, after its performance was boosted by the merger with Milk Link.

It also signed an exclusive partnership with Starbucks to supply 30 million litres of Cravendale to all its 700 stores in the UK and Northern Ireland each year.

An Arla spokesman said: “2013 marked another year of unprecedented activity for the UK business. Now the largest dairy company in the country with leading positions in milk, cheese, butter and spreads, the focus has been on maximising and extending these leads.”

The company said the rise in sales was primarily due to the Milk Link merger in 2012. In 2013, Arla UK negotiated the biggest cheese contract in its history. From April, the business will supply 30,000 tonnes of cheddar to Leeds-based Asda, increasing cheese production by 50 per cent.

Peter Lauritzen. the chief executive of Arla Foods UK, said: “The UK business is performing well. Arla UK has a compelling dairy offer and we are very much focused on growing our business and building on our number one position in fresh milk, butter and spreads as well as cheese. We focused on integrating the Milk Link business into Arla during 2013 and we are already seeing good commercial progress as a result of this.”

Last year, Arla Foods’ Board of Representatives voted for Arla Foods Milk Partnership (AFMP) farmers to become co-owners of of Arla Foods amba. As a result, Arla has increased its number of British farmer owners to around 2,800.

Arla’s head office is in Leeds, next to its Stourton dairy and national distribution centre. The company employs 1,000 staff at four sites in Yorkshire.