Dairy co-operative Arla Foods plans to sell its cheese production site in Sonthofen, Germany to Allgäuer Hof-Milch. Arla says the facility no longer fits with the strategic direction of its businesses in Europe.

Arla Foods’ head of Europe, Peter Giørtz-Carlsen, said: “All of our production sites in Germany are focused on supplying both the German market and our export markets, playing a crucial role in our delivery of the Arla Group strategy, Good Growth 2020. However, since the site in Sonthofen no longer corresponds with our overall strategic aim, we are pleased to have found a suitable buyer to continue its production and legacy.”

There are currently 84 people employed in total at the site and 61 employees from production and the associated dairy shops will continue to be employed by Allgäuer Hof-Milch as part of the transfer. Arla also says it’s confident that it can find a solution for all the 23 administrative employees.