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Claymore Dairies losses cut to £74,000

Losses narrowed at Claymore Dairies last year
Losses narrowed at Claymore Dairies last year

Losses narrowed at the main dairy in the north last year.

Nairn-based Claymore Dairies, which is owned by Graham’s The Family Dairy, posted pre-tax losses of £74,214 for the year ended March 31, 2014. This was an improvement on pre-tax losses of £322,334 the year before.

According to accounts filed with Companies House, turnover at the dairy was up 38.4% to £10.375million, from £7.496million the year before.

Claymore was bought by Graham’s in 2011 from its management team who ran the business for seven months after they took it over from EU dairy giant Arla, who had operated it at a loss for years.

In her director’s report, Carol Graham said: “The directors are pleased to report an increase in turnover.

“A lot of hard work has been required to achieve this positive growth because commercial pressures are still evident and margins remain extremely tight.”

In November, parent group Graham’s The Family Dairy, hailed a 25% boost in sales to £85million.

Pre-tax profits at the group also increased in the year by 31% to £1.322million, from £1.007million the year before.

Last week, Graham’s confirmed its farmer suppliers would embark on a new milk pricing formula on February 1.

The AB formula contract, which is mandatory for all of its suppliers, will pay farmers different prices for their milk.

The majority of milk supplied – around 90% – will be paid the full liquid price, while 10% will be paid based on an AMPE derived price.

AMPE, or actual milk price equivalent, is a value devised by dairy levy body DairyCo based on the market prices for butter and skimmed milk powder.

The dairy is currently waiting to find out whether a planning application for a new £20million dairy in Stirling will get the green light.

In conjunction with housing developer Mactaggart & Mickel Homes, the dairy submitted planning for the Airthrey Green development in March last year. The planned development will include a public park, primary school, improved road network, 600 houses, retail and leisure centre and a new dairy facility.