Medina Dairy secures Severnside milk processing capacity

Approval leaves Medina well placed to develop national retailer supply relationships

Medina Dairy has today been approved as the successful purchaser of the Severnside toll processing volumes offered by Muller Wiseman. The agreement to toll process 100 million litres of fresh milk at Severnside will further enhance Medina’s capabilities in the fresh milk sector and provides Medina with a strong base from which to develop its supply relationships with the major national retailers.

Sheazad Hussain, Medina Dairy’s Chief Executive commented, “Medina Dairy’s vision is to be a credible alternative supplier of liquid milk to the full spectrum of UK retailers, wholesalers and food service operators.  We are therefore delighted to have been chosen as the successful purchaser of the Severnside fresh milk processing volume following a very rigorous and highly competitive selection process satisfying the Competition and Markets Authority.

“The ongoing consolidation and rationalisation of the UK dairy processing sector has resulted in the creation of a small number of very large dairy businesses.  We see this as an opportunity that creates space in the marketplace for Medina to leverage its capabilities and experience in the supply of fresh milk and implement its strategy of increasing its presence into the larger UK retail and food service market including the national multiples.

“We believe that our existing experience of supplying dynamic and demanding customers, with highly complex needs, means that we are very well positioned to develop sustainable and long term relationships with national retailers.

“Severnside is a flexible, strategically located and retailer approved processing facility. As such the securing of the toll processing agreement fits exactly with Medina’s business strategy and represents a tremendous opportunity for us to accelerate our journey towards our goal by developing a presence in the major national retail milk market.

“Medina remains committed to an ongoing programme of investment in our processing and supply chain capabilities, management team and systems so that we remain a credible and competitive alternative in a consolidating market. We also believe that our size allows us to be both flexible and focused on meeting the needs to the satisfaction of our customers and in so doing develop stronger and more relevant relationships with them.”

Notes to editors:

Medina Dairy is a major supplier of fresh milk, dairy and bakery products to the convenience retail, wholesale and foodservice sector.

The business was originally started in 1980 by Sardar Hussain and his family and in 1992 Medina Dairy Ltd was established to focus on the supply of milk.

Today Medina supplies its great tasting Watson’s and Cymru milk & cream brands as well as specific retailer own label milk direct to some 5000 locations on a daily basis.  Its customer base consists of a wide range of retail, wholesale and food service customers.

In 2004 Medina acquired Watson’s Dairy, in Hampshire and in 2007 the processing assets of Buckley’s Dairy in West Yorkshire.  Both dairies are Grade A, British Retail Consortium accredited, production facilities. These existing fresh milk production facilities will now be complemented by Medina’s securing of the agreement to process an additional 100 million litres of milk per annum at the Severnside dairy.