Muller approved by CMA to acquire Yew Tree Dairy

Major milk processor Muller has been given approval by the Competition and Markets Authority (CMA) to acquire Yew Tree Dairy.

The proposed acquisition, first confirmed by Farmers Weekly on 5 June, raised some concerns within the dairy sector of further consolidation by processors leading to reduced options for producers, especially in Scotland.

But after looking into the merger, the CMA cleared the acquisition on 22 October.

See also: Yew Tree Dairy acquired by industry rival Muller

Muller, which is already supplied by 1,300 British dairy farmers, has announced the acquisition of Yew Tree Dairy is expected to be completed by the end of October.

It plans to use the purchase to increase its milk drying capacity and export volumes of powdered milk products.

Rob Hutchison, chief executive at Muller, said: “The British dairy industry is world-renowned for its approach to sustainability, quality and welfare and so, not only does this acquisition underline our ambition to grow our business, but also a commitment to ensuring our customers, farmers and consumers will all feel the benefit.”

Carl Woodcock, director at Yew Tree Dairy, added: “Joining Muller will help Yew Tree Dairy go from strength to strength, benefitting our staff, farmers and customers and creating a strong and successful future for the British dairy industry.”