Bega to relocate production of Tasmanian milk brands

Bega Group has announced that it will be relocating the manufacture of its Betta Milk and Pyengana Milk brands to its Lenah Valley site in Hobart.

This decision comes following the conclusion of a strategic review of the brands that Bega acquired from TasFoods Limited on 1 December 2023.

Pete Findlay, CEO, Bega Group, said that this is a critical move for the continued success of the Tasmanian milk brands.

“Betta Milk has been a household name in Tasmania for over 65 years, and this move is critical to ensuring that the Betta Milk and the Pyengana milk brands will continue to be much-loved Tasmanian made brands for many years to come,” he said.

The Burnie site that manufactures the Betta Milk and the Pyengana milk brands is an ageing facility that has a number of challenges including its safety and environmental impacts. This, combined with the site not operating in a commercially sustainable way, will see the manufacture of these brands transition to Bega Group’s Lenah Valley site. Customer service and logistics will be integrated into Bega Group’s existing supply chain. These changes will all take effect from 18 March 2024.

Manufacturing at Kings Meadows will continue given the site’s unique capabilities.

Bega Group is working closely with the employees who have been affected by this announcement, offering redundancy packages, and exploring redeployment opportunities. Of the employees that have been impacted; 23 are located in Burnie, 14 in Launceston, 13 in Kings Meadows, 10 in Hobart and two in Melbourne.

Findlay went on to say that the decision was not an easy one to make, and the company is working hard to manage this change respectfully with all employees, suppliers, customers, and partners.

“Bega Group is committed to continuing its strong local presence in Tasmania, through its Lenah Valley and Kings Meadows operations, sourcing milk from Tasmanian dairy farming families.

“Burnie and Northern Tasmania remain an important region for Bega Group. Betta Milk is synonymous with Northern Tasmania, and we look forward to strengthening our connection to the local and surrounding areas through various community initiatives.”

Betta Milk and the Pyengana milk brands, along with Meander Valley Dairy will continue to be made from high quality Tasmanian milk and these proud locally made brands will play an important role within Bega Group’s portfolio.

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