Daily Newsletter

23 July 2024

Daily Newsletter

23 July 2024

Müller invests in German yogurt production

Müller revealed it would gradually close down a Landliebe yogurt site earlier this year.

Henry Mathieu

Müller has revealed it is set to build a new production facility at its Alois Müller dairy in Germany for jarred yogurt products sold under the Landliebe brand.

The building will be equipped for filling, sorting and cleaning returnable jars, the company said. It will “significantly expand the production capacity for yogurt at the site”, Müller added.

The 4,500 square-metre site will be completed for summer 2025, with production scheduled to start in the first half of 2026. Müller said 50 jobs will be created as part of the investment at the dairy in Aretsried, Swabia.

Müller has invested around €140m ($152m) in the Aretsried site over the past ten years, including a new high-bay warehouse, an extension to the administration building and now the new production building.

The dairy group did not disclose how much was being invested into the new building.

Cornelia Heiser, managing director of the company's Müller Germany subsidiary and responsible for the Müller, Landliebe and Weihenstephan brands, said: “This investment is an important step for one of the Landliebe brand's iconic products, yogurt in a jar, which will be bottled in Aretsried from 2026.

“The site is the birthplace of the Müller brand, which has developed from here to its current strength. With the same spirit, we now want to help the Landliebe brand regain its former strength in the market.”

In February, Müller revealed that it would gradually close down two sites it bought from FrieslandCampina last year: one in Schefflenz and one in Heilbronn. The latter was used to produce Landliebe yogurt products.

At the time, Heiser said: “A comprehensive economic analysis has shown that, under these conditions, the two production sites have no prospect of returning from the deep red to a profitable business in the long term.”

Last month, Müller acquired family-owned UK dairy company Yew Tree Dairy for an undisclosed fee. The dairy major said it would use Yew Tree’s milk powder to grow its export business and “drive supply-chain resilience”.

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