Czech dairy upgrades facilities

Leading Czech dairy producer Madeta, has announced that it will invest CK150 million (€4.6 million) to expand production and modernise its existing plant in Cesky Krumlov, southern Bohemia.

Currently Madeta produces blue cheese under the brand Niva at the Cesky Krumlov plant. According to a Business Digest report, the company says it is planning to increase its purchase of milk by 10 million litres in 2004, making total milk volumes 530 million litres for the year.

The company currently operates eight production plants throughout the southern Bohemia region and has about 1,700 employees.

In recent years the company has been increasing its dairy production to meet increasing domestic demand within the domestic market. In 2002 the company processed 465.7 million litres of milk products, a figure which rose to 520 million in 2003. For 2004 the company is expecting a more modest rise in demand for its products, but says that the investment in its production facilities will ease current pressures.

In 1991 the dairy company formed a joint venture amongst the main dairies in the region, building it into one of the Czech republics leading dairy producers.

Madeta now manufactures over 200 kinds of dairy products, including consumer milk, UHT milk, butter, creams, yoghurts and various soured dairy products, natural and processed curd cheeses and desserts, dried milk products and dairy feed mixtures. The company was established in 1836 and is currently the largest dairy producer in the south Bohemia region.

In recent years the dairy sector in the Czech Republic has witnessed phenomenal growth. In 2003 the sale of dairy products within the country grew by an estimated 24 per cent to reach a total value of CK41.5 billion. After a period of heavy consolidation the industry has emerged as robust and in the light of strong demand from both the domestic and international markets.