Finland-based dairy group Valio plans to finish manufacturing at one other native manufacturing facility, citing declining volumes and elevated prices.
In a press release yesterday (18 Could), the corporate stated it plans to section out operations on the web site in Oulu by the primary half of 2028.
Manufacturing will shift to different websites in Riihimäki, Jyväskylä and Joensuu.
“With the deliberate switch of Oulu manufacturing facility’s manufacturing, we purpose to enhance Valio’s manufacturing effectivity, profitability and competitiveness,” Juha Penttilä, the chief vice chairman of operations of Valio, stated.
The Oulu facility produces milk, fermented milk, ice cream and plant-based semi-finished merchandise.
Valio intends to keep up its distribution warehouse, gross sales and assist features inside Oulu.
The corporate is about to begin talks with employees concerning the relocation on 25 Could, with discussions anticipated to span three weeks.
Whereas the Oulu web site employs round 300 individuals, the negotiations will cowl 264 workers.
Present estimates point out potential redundancies may impression a most of 140 staff.
Valio has dedicated to providing “open positions” at its different amenities to affected staff.
Penttilä added: “Change negotiations involving potential redundancies are at all times deeply unlucky and have an effect on the whole work group. We wish to conduct these negotiations as thoughtfully and responsibly as potential, with individuals on the centre.”
Valio has been consolidating its home manufacturing for the previous two years.
In June final yr, the corporate introduced plans to close the Kauhava fava bean manufacturing facility it purchased from Raisio and transfer manufacturing one other plant.
In October 2024, Valio stated it would shut its Vantaa plant and relocate operations to a facility additional north in Joensuu.
Earlier the identical yr, the corporate announced plans to close two meals and drinks manufacturing amenities in Finland – one situated within the south-western coastal metropolis of Turku and the opposite within the Pitäjänmäki district close to Helsinki.
Valio has a complete workforce of round 4,600 individuals, with roughly 4,000 primarily based in Finland. It operates beneath a cooperative possession construction held by about 3,000 Finnish dairy farmers.
The dairy group’s whole web gross sales for 2025 climbed 6.3% year-on-year to €2.42bn ($2.82bn). Home web gross sales accounted for €1.52bn of the whole, whereas worldwide operations introduced in €900.7m.
The corporate’s milk margin rose 6.4% to €1.04bn in 2025, whereas its milk return metric grew 7.3% to 56 cents per litre.
“Finland’s Valio to shut home plant amid falling gross sales” was initially created and revealed by Just Fooda GlobalData owned model.
