Features

North Cork gets the cream

23 Jun , 2016  

Part of the fabric of life in the dairy stronghold of Duhallow since 1928, North Cork Creameries Ltd was among the winners at the 2015 Quality Food and Drinks Awards ceremony which took place in Dublin’s Mansion House in September.

Suppliers of high quality milk products, including milk powders, rennet casein, sweet cream butter, whey butter and blended ingredients to both the domestic and international markets, North Cork Creameries won the ‘Free From – Chilled’ category for its SuperValu Lactose Free Milk and was also highly recommended in the ‘Dairy and Milk Products – Butters and Spreads’ category for its SuperValu and Centra Unsalted Butter.

The Irish Quality Food and Drinks Awards were open to all food and drink retailers, producers and manufacturers across the Republic of Ireland and Northern Ireland. They set out to recognise excellence in food and drink product development from a wide variety of companies across Ireland.

“These successes reflect the quality of our dairy products. The Irish Quality Food Awards are very prestigious, so it was a great honour for us to be recognised by the judges,” North Cork Creameries CEO Pat Sheahan enthuses.

These are certainly exciting times for North Cork Co-op which is totally farmer-owned and has provided jobs for generations of people in the region over the decades. In March 2014, the Creamery opened a new €5 million milk powder plant in Kanturk which will enable it to compete at a global level and support the local economy well into the future.

Minister Simon Coveney was on hand to officially open the new plant, which has the capacity to dry two tonnes per hour. The milk drying plant is one of the most modern and efficient facilities of its kind, producing very high quality milk powders together with other operations such as casein, butter and liquid milk.

The facility was developed in line with the continuing global growth in demand for dairy products and the abolition of milk quotas last April.

“We have invested €12 million over the last four years on our facilities in preparation for the lifting of milk quotas and the extra capacity that’s needed to meet expanding processing needs and to supply growing global demand for dairy products,” Pat says.

“The new powder plant allows us to benefit from reduced processing costs while improving our long-term competitiveness and strengthening our market presence with a world-class product. It forms a key element of our business, development strategy to improve capability, create new efficiencies and to identify new markets for our value added dairy products.

“This investment is very important in addressing the needs of our customers on whom our business depends.”

Pat, who became North Cork Creameries CEO in 2013 after working with the Kerry Group as a senior executive for 25 years, isn’t unduly concerned about the current low prices farmers are getting for their milk.

“Despite the volatility over prices, the medium-term is still quite positive on balance with world population growth. The outstanding reputation Irish dairy products have abroad will play an important role in the recovery of milk prices in this country, I believe.

“At the start of 2014, our suppliers were offered the opportunity to sign up to a fixed-milk price scheme which is run in conjunction with Ornua (Irish Dairy Board). The price offered at the time was 34.71c/l including VAT and was available for three years. There was a poor supplier take-up and with prices now at 26c/l, I’m sure a different view might prevail.

“But they will have an opportunity to sign up to a new scheme in January 2016 which will see them paid 29c/l over a 36-month period.”

North Cork Creameries has developed into a strong, independent and successful agribusiness since its foundation nearly 90 years ago. The Creamery’s mission is to serve its shareholders and milk suppliers, and has a dedicated team in place to carry out this role. It currently has 140 suppliers, 300 shareholders and employs 65 people from the local area.

North Cork Creameries processes 105 million litres of milk and five million litres of liquid milk per annum, including milk for other co-ops such as Dairygold and Glanbia. The recent investment in new facilities gives it the capacity to process 200 million litres of milk per year.

With annual revenues of €65 million, the Co-op has an enviable record in processing and sourcing steady and profitable market outlets and for its suppliers’ milk and for maintaining secure employment in Kanturk and its environs. It is one of the few remaining independent creameries dedicated to the principles first laid down by Horace Plunkett at the foundation of the cooperative movement.

The North Cork Creameries board is made up of 12 members from six branches – Banagh, Castlecor, Glensouth, Cullen, Ballyhoulihan and Kanturk. The board members – two from each branch – are elected every three years. Pat Sheahan is joined on the executive by financial director Chris Caulfield, commercial director Mick O’Shea, agri trade director Con Drew and HR manager Micheala Ronan. Martin O’Keeffe is chairman of the Creamery.

As well as producing its own brand of butter and milk, North Cork Creameries produces milk and butter for Musgraves (SuperValu and Centra) and butter for Kerrygold. It is also the only creamery in the 32 counties of Ireland to produce whey butter, which is used mostly in the manufacture of confectionary.

In addition, there are two North Cork Creameries Town and Country Stores located in Kanturk and Cullen. There are a range of departments in both stores, including hardware, building products, electrical products, gardening, fuels, paint/accessories, clothing and footwear and a full range of agri inputs such as feed, fertilizer etc.

Staff are friendly, highly-trained and always on hand to provide advice to customers. There is ample car parking space and a comfortable, spacious layout where customers can browse through the wide range of products on offer.

North Cork Creameries Ltd
Dromalour,
Kanturk,
Co. Cork.
Telephone: 00353 29 50003
Email: [email protected]

Taken from Irish Tractor & Agri magazine Vol 4 No 2, February 2016

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