Dairy Crest has announced plans to close its Proper Welsh Milk dairy just nine months after buying the business, which had fallen into administration.

The UK group said it has started a compulsory 30-day employee consultation with the 31 staff at the site.

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The company said it was forced to close the facility because production volumes have “fallen short of expectations” and it would require “significant investment” to bring the site up to Dairy Crest standards.

Mark Allen, Dairy Crest’s CEO, said: “We are disappointed that it has not been possible to make a success of Proper Welsh, but lower sales and higher costs mean it is not possible to operate the site economically.”

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