‘Dragon roars’ as dairy co-op breaks records:
MORE JOBS AND RECORD SALES AT CHWILOG CREAMERY
AFARMER’S dairy cooperative has shrugged off talk of pre-Brexit jitters to post record sales from its Gwynedd base.
South Caernarfon Creameries, which among other things produces the Dragon brand of cheeses, sold £52.9m of dairy products in the latest financial year.
The success comes at a time of deep uncertainty in the agricultural sector, due to the UK Government’s ongoing impasse with the EU – plus a lack of clarity on what Welsh Government post-Brexit plans will mean for the nation’s farmers.
The co-operative has increased its workforce by almost 10% , to 130 staff, on the back of a 60% increase in sales over the past two years – 17% in the last accounting period.
The company’s annual financial report for year ending March 2019 shows an operating profit of £2.2m.
Managing director Alan Wyn Jones said: “The directors of the business are satisfied with the overall financial performance for the period which were in-line with expectations.
“With the current political uncertainty having an impact on the markets that we serve, the current environment is a challenging one but we remain focused on adding as much value as possible in all that we do.
“Our business growth and success is the result of our staff and members’ hard work in producing high quality and innovative products and service to our customers.
“We now have a strong platform in place, that we shall continue to build upon with the objective of providing our farmer members and staff a sustainable future.
“These are exciting times.”
After making a £13.5m investment in its production and packaging facilities in 2016 the company has diversified its range and signed up to some big contracts.
In the past year it signed a contract to supply retail giant Tesco with the new Dragon Handcrafted range of cheeses (pictured) – in collaboration with Halen Môn, Penderyn Whisky and Llechwedd Slate Caverns.
Its Maplewood Smoked Cheddar was developed with Halen Môn smokery, scooping Gold and Silver prizes at the Royal Welsh Show.
It was also showcased to the Duke and Duchess of Cambridge on a visit to Anglesey this spring.
The co-operative works with 130 dairy farms across North and Mid-Wales – paying out a total of £37m per annum – and produces 14,000 tonnes of cheese a year.
The co-operative, which has operated in the same area for more than 80 years, prides itself on being a local concern – 98% of staff live within 20 miles of the plant at Chwilog, near Pwllheli.
Mr Wyn Jones said the results should provide security for the business.
He said: “We are delighted to have posted record sales for the second year running, helping secure the futures for our staff at Chwilog, our suppliers and our farming members.”