United Kingdom: Muntons plc, the British malt and malted ingredients producer for over 80 years, announced on February 24 it has decided to cease production at their maltings in Kirkcaldy, Fife, Scotland. The plant, which was constructed in the 1950’s, will cease production early in 2006.

“We deeply regret having to make this decision” said Alan Ridealgh, Divisional Managing Director of Muntons Malt. “However the increasing adverse cost differential between this and the company’s other maltings has made this decision inevitable. This is particularly so given the very low profit levels in the malting industry which makes it impossible to attract finance for further investments.”

Muntons grain trading operations in Fife will also cease with immediate effect. Muntons are making this announcement now in order that farmers can take this into account when making their cropping decisions.

The maltings will continue to operate until the barley stocks are used and it is anticipated that the site will close in March 2006. The company will be working with all staff to find the best way forward but potentially 29 people are at risk of redundancy.

Muntons will now concentrate on production at their Bridlington and Stowmarket maltings. Tim Stonehouse, Muntons Malt’s Sales Director said “supplies of malt to distillery customers will continue from our Bridlington maltings, a modern cost effective plant that was originally built in partnership with two Scottish distillers”.

Muntons will now operate out of two sites: Stowmarket (head office), which produces 80,000 tonnes per annum, and Bridlington which produces 92,000 tonnes of malt. Muntons Malt remains a significant producer of malt and still one of the largest independent UK maltsters.

Muntons Malted Ingredients also operate out of the head office at Stowmarket, which includes a 28,000 tonne per annum malt extract plant, a total of 6,000 tonnes per annum spray drying and band drying facility, a 3,000 tonne per annum homebrew production line plus malt flour mill and malted wheat flaking plants.

The decision to close the Kirkcaldy maltings was not taken lightly and was with much regret. With concentration at the existing maltings and continued reduction in costs, Muntons Malt look forward to working closely with customers to meet the demanding commercial standards of today’s market.

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