Sodiaal to close Malestroit cheese site, shift Emmental production by 2028

FRANCE – French dairy co-operative Sodiaal has announced plans to close its Malestroit cheese production site, transferring Emmental cheese manufacturing to Montauban-de-Bretagne by 2028 or 2029. 

The decision comes amid increasing competition in the Emmental market, with pressures from retail and foodservice channels as well as private label brands within the European Union.

According to Sodiaal the restructuring aims to optimize its cheese business and maintain its market position. 

“The new industrial master plan responds to a strategic challenge for the cooperative’s cheese business. Indeed, the Emmental market is very competitive,” Sodiaal stated. 

Employees at the Malestroit facility were informed of the decision on 7 January, with the company emphasizing that sufficient time would be given to individually assist each affected worker.

The cooperative also plans to relocate research and development activities from Malestroit to Montauban-de-Bretagne once the production transfer is complete. 

Additionally, milk collection activities in Brittany will not be disrupted, with the Malestroit milk collection center set to move to a nearby location. 

Sodiaal reported that some employees will be transferred over a period of three to four years.

According to the company, an analysis showed that Malestroit’s production costs are two to three times higher than other Sodiaal facilities, and the site cannot function at full capacity without significant investment. 

An estimated €50-70m would be required to sustain operations at Malestroit, while expanding Montauban-de-Bretagne to accommodate the same production volume would cost €30m. 

“To keep industrial costs competitive and ensure accessibility for the widest range of consumers, as well as to protect our market share and the value of milk collected, we must optimize its industrial facilities,” the company noted.

Despite the planned closure, Sodiaal confirmed that it will continue to invest in Malestroit until operations are fully transferred. 

Over the past five years, €10m has been invested in the facility, with an additional €4-5m planned over the next three years, including €2.3m in 2025.

Sodiaal operates 53 sites across France, including dairies, cheese factories, and production facilities, and employs 8,888 people. 

The cooperative also collaborates with 15,295 dairy farmers. In February 2022, Sodiaal announced the closure of its Campbon dairy in Loire-Atlantique, which produced UHT milk, and its Saint-Martin-Belle-Roche site in Saône-et-Loire, which specialized in infant-dairy products.

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