Dairygold expansion plans get the green light
The go-ahead has been given by An Bord Pleanala to Dairygold Co-Op for redevelopment plans in both Mitchelstown and Mallow, in advance of the milk quota changes in 2015.
An Bord Pleanala has given Dairygold planning approval for their redevelopment plans in Mallow and Mitchelstown, which will see the creation of 100 jobs, with additional jobs throughout the construction phases. The plans will allow for the processing of additional milk flow, post quota restrictions in 2015.
Following the recent controversial Special General Meeting in Mallow, the members voted in favour of the new milk supply agreement, which has allowed Dairygold to push forward with the expansion plans.
"Dairygold’s milk suppliers have indicated clear intent to expand milk production by 2020 by between 55% to 60% over the society’s 2011 milk production levels. Last month, Dairygold’s members gave their overwhelming endorsement to the society’s milk expansion plans at a Special General Meeting and 95% of the society’s milk suppliers have now signed up the society’s Milk Supply Agreement, which underpins the co-op’s expansion plan”, explained Dairygold CEO Jim Woulfe.
PHASE 1 UNDERWAY
Over the past two years there has been a great deal of consultation and planning to lead to this final step. In Mallow, the plans will allow them to be more efficient and optimise their performance in a way that will avoid waste or overspending. The first phase of the plan, which incorporates the evaporation and dryer facilities in Mitchelstown, began in January and this represents €33 million of the projected overall cost of €120 million.
"This development, which represents a €33m investment, will be completed and commissioned ahead of peak milk in Q2, next year. The second phase of processing expansion which will involve the development of the Co-Op’s Mallow site, will follow first with a new milk intake, evaporator and dryer with further plans now in place for further expansion as milk volumes increase in line with predictions”, said Mr Woulfe.
OPPORTUNITY FOR GROWTH
Councillor Frank O'Flynn welcomed the approval, saying that it will give local farmers the opportunity to increase their production.
"This is a very exciting time for the dairy industry," he said.
Deputy Tom Barry has welcomed the news, saying that it will provide a platform for the dairy industry to grow in the area. "Mallow has a proud tradition of providing significant employment to complement its rural hinterland and this major expansion serves as the beginning or a return to our glory days at the heart of the agri-food business. This development will subtantially increase economic activity in Mallow and create hundreds of jobs, both at construction and post-construction.
"100 direct Jobs will be created in the dairy processing expansion but the effect upstream and downstream of the development means that you can multiply that job number several times," Deputy Barry said.
Thursday 16th May 6:33pm