In a statement last week Arla Foods said the centre - a liquid milk production facility that produces and distributes approximately 55 million kg fresh products per year - would subsequently be moved to the Slagelse, Hobro and Christiansfeld dairies.
"To the greatest extent possible, the 165 strong workforce - of whom 130 are full-time employees - will be offered work elsewhere in Arla Foods. The move will create around 60 new jobs at Hobro and 30 at Christiansfeld," said the firm.
Beginning in the spring of 2003, all phase 1 redundancies (a total of 200) will have been implemented by 1 October, 2004. The second phase will comprise another 200 full-time jobs across divisions and staff functions.
The decisions will be made no later than the August budget meetings. In an unusual deal, earlier this week in the UK, Express Dairies, a division of Arla Foods UK, signed a two-year deal with mail company TPG to deliver heavy weight letters and packets for subsidiary TNT Mail's customers.
The agreement gives TNT, the UK branch of TPG, direct access for delivery to over six million UK households.