Tine’s group board has decided to close down the dairy facilities at Sem in Tønsberg and Kristiansand. At the same time, production changes are being made at the facilities at Frya in Ringebu, at Sola in Stavanger and in Lom and Skjåk. This is done to ensure competitiveness and prepare the company for the future. – Today we have made a difficult decision. It affects many employees, says Tine chairman Marit Haugen. THE HOOK ON THE DOOR: At the dairy in Kristiansand, they have locked the gate while employees are briefed on the board’s decisions. Photo: Hans Erik Weiby / news Downsizing with 100 man-years The group board met at Gardermoen on Wednesday. On Thursday morning, the employees were told about the way forward. These are the decisions: The dairy plant at Sem in Tønsberg will be closed down during 2025. The dairy plant in Kristiansand will be closed down during 2025. Milk and cream bottling at the plant at Sola and at Frya will cease during 2024 and 2025, respectively. Stock will be kept at Sola , while this is closed at Frya. Frya will continue to be a venture plant for yoghurt, crème fraîche and cottage cheese (where the market development is positive). Operations in Lom and Skjåk will continue, but on a smaller scale. Lom and Skjåk will invest in a separate concept based on the pot-cooked, traditional, original recipe for Gudbrandsdal cheese. Parts of the production in Lom and Skjåk will gradually be moved to Byrkjelo or Storsteinnes. The decisions entail a downsizing of around 100 man-years in total in Tine. Tine chairman Marit Haugen and group CEO Ann-Beth Freuchen say the changes must be made to equip TINE for the future. Photo: Stine Bækkelien / news – Closing jobs is never easy. At the same time, we cannot shield ourselves from the harsh reality where sales of the white milk in Tine have decreased by almost 40 per cent in the last 10 years, says chairman Marit Haugen. – Combined with significant imports and strong competition, we must be aware of our responsibility and adapt our plant structure for the future, she says. Which dairies are affected by the board’s decisions? Photo: Malin Straumsnes TINE The dairy Byrkjelo is located in Byrkjelo in Sogn og Fjordane. The dairy produces Norvegia® and brown cheese, as well as portion packaging of Norvegia®. TINE Meiriet Frya is located in Ringebu in Gudbrandsdalen. The dairy produces drinking milk, TINE yoghurt, Yoplait yoghurt, sour cream, crème fraîche and cottage cheese. The facility receives and processes approx. 60 million liters each year. There are around 150 employees at the dairy. TINE Dairy Kristiansand is located in Kristiansand. The dairy produces sweet milk, cultured milk and cream. The plant collects 50 million liters of milk per year, and 23 million liters of sweet and cultured milk are bottled. The number of employees at the facility is 110. TINE Dairy Lom & Skjåk is located in Skjåk municipality in Gudbrandsdalen. The dairy produces brown cheese. The facility produces approx. 1150 tonnes per year, and has 18 employees. TINE Meieriet Oslo is Norway’s largest consumer milk plant and is located on Kalbakken. The facility processes 134 million liters of milk and produces fruit drinks for Sunniva Drikker AS. TINE Sem dairy is located in Tønsberg municipality. The dairy produces drinking milk and cream. During the milking season, the dairy collects milk and cream from stalls in Valdres. The facility produces approx. 35 million liters per year. There are around 115 employees at the plant. TINE Meiriet Sola is located on Grannessletta in Sola municipality. The dairy produces milk and cream. The facility produces approx. 30 million liters per year. The number of employees is approx. 100. TINE Storsteinnes dairy is located in Balsfjord municipality in Troms. The dairy produces brown cheese and white cheese from cow’s and goat’s milk. Source: www.tine.no Consideration of 8,291 farmers CEO of Tine, Ann-Beth Freuchen, says that there is a comprehensive and thorough process behind the decision that has now been taken. – I fully understand that this is demanding for those affected. But we must do everything in our power to be competitive. Not least, we make it possible for the 8,291 farmers who own us today to continue producing Norwegian food throughout our long country, says Freuchen. The adopted changes should result in savings of around NOK 100 million a year from 2026. The sale of milk has fallen sharply in recent years. Therefore, Tine must take action. Photo: Gorm Kallestad / NTB The battle for the “raw cheese” Since the sale of brown cheese has also declined, the production of the traditional Gudbrandsdal cheese has come under scrutiny. According to communications director Ingrid Wilberg Arnesen, people eat over 30 per cent less brown cheese per inhabitant than 15 years ago. But the possibility of the production being moved away from Gudbrandsdalen caused strong reactions: It is now clear that the dairy in Lom og Skjåk will retain some of the production and will invest in a separate concept based on the pot-boiled, original recipe. The other production of the brown cheese takes place in Byrkjelo in Sogn og Fjordane and at Storsteinnes in Troms. These plants exist and will probably get some more of the production eventually. Does brown cheese have to be given a new name, if it is no longer to be produced in Gudbrandsdalen? Photo: Aleksandr Nedbaev / news Relief in Troms At Storsteinnes in Balsfjord, the Tine dairy is the cornerstone company with 55 employees. And just two years ago, NOK 200 million was spent on expanding and upgrading the dairy. The employees have been worried about their workplace, but can now breathe a sigh of relief. Incoming mayor Laila Johannessen (Sp) is pleased. Incoming mayor of Balsfjord, Laila Johannessen (Sp) was ready to fight, if Tine had decided to move brown cheese production. Photo: Simen Wingstad / news – The production has a huge significance, not only for the employees at Tine, but for the entire local community. We talk very warmly about food security and about putting the land to use, and then it must be done in practice, says Johannessen. Closure in the south In the south of the country, in Tønsberg and Kristiansand, it is the disappointment that prevails. This is an area where Tine is experiencing great competition with a corresponding decline in volume. In the last 10 years, there has been talk of a halving of production. The conclusion is that the plants in Sem and Kristiansand will be closed down. – It is about our drinking milk, and this is where we have large excess capacity linked to those facilities, says Tine chairman Marit Haugen. What is Tine cooperative? Photo: Gorm Kallestad / NTB Tine SA is a cooperative owned by milk producers who supply milk to the company. Tine is owned by around 9,000 small and large farmers in Norway. Together with the farmers, Tine creates values worth almost NOK 23 billion. It is only Tine who collects milk from farms throughout the country. Tine currently has 30 dairies and over 5,000 employees divided between the main organization and subsidiaries. Tine’s operations are represented all over Norway, in addition to international dairy operations. The main part of the products is sold domestically. Source: www.tine.no and www.melk.no Taking care of those affected Ottar Olden, who is head of the NML’s secretariat and editor of Mat- og meieriposten, says that their union representatives have been involved, both locally and centrally. The dairy in Lom og Skjåk must expect to reduce staff, even if the plant is not shut down. Photo: Aleksandr Nedbaev / news – In the further process, NML expects Tine to ensure good information for her employees and look after everyone in a good way, not least those who are directly affected, says Ottar Olden. The trade union will contribute actively in the processes to come. – Such processes are demanding for all parties, not least for those who are directly affected. Farmers’ association and minister have trust Leader of Norway’s Farmers’ Association, Bjørn Gimming, says it is very important that Tine is “far ahead in the shoes” and makes the decisions needed to ensure a good economy and basis for operations in Norway. COMPLETE VALUE CHAIN: Bjørn Gimming, head of the Norwegian Farmers Association, says that milk production is an important part of Norwegian agriculture. Food production is perhaps also the only complete value chain left in Norway – that is, from the raw material producer, through processing and out into the retail chain to the consumer. Photo: Camilla Alexandra Lie / news They have an important task in collecting, refining and reselling milk from Norwegian farmers. – It is important that Tine has good operations and low costs, and contributes to the highest possible milk price for Norwegian farmers, he says. Agriculture and Food Minister Geir Pollestad (Sp) also has full confidence that Tine makes the right assessments. – Like any other business operator, Tine must make her choices based on what makes sense for her owners, says Pollestad. Agriculture and Food Minister Geir Pollestad (Sp) says he has full confidence that Tine makes the right assessments. Photo: Irmelin Kulbrandstad / news
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Tine shuts down several plants and cuts 100 man-years – news Innlandet – Local news, TV and radio
