Valio will transfer production from its Oulu plant gradually to Riihimäki, Jyväskylä and Joensuu by the end of the first half of 2028. With the production transfer, Valio aims to improve production efficiency, profitability, and competitiveness in line with its strategy. Through profitable and competitive business operations, Valio will ensure the vitality of its owners, Finnish dairy farms, also in the future and secure the continuity of domestic food production.
Valio’s Oulu plant produces fresh dairy products such as milk and fermented milk products, as well as plant-based semi-finished products. The Oulu plant employs approximately 300 people. Based on the current estimate, 140 employees will be made redundant in phases by the time the production transfer is completed. Valio’s distribution warehouse will remain on the Oulu plant premises, along with functions serving Valio, such as sales and support functions.
“The personnel at the Oulu plant have done excellent work. Closing the plant’s production is a very unfortunate matter that affects the entire work community. We are committed to handling the situation as well and responsibly as possible from the personnel’s perspective and to supporting our employees through the change, so that as many as possible can find employment either within Valio or outside the company,” says Juha Penttilä, Executive Vice President responsible for Operations.
Consolidation aims to improve profitability and competitiveness
Valio will begin more detailed planning of the schedule and details of the production transfer. The impact of the transfers on Valio’s other production plants will be assessed as the plans progress.
Valio has two production plants in Riihimäki: one produces milks and creams, while the other produces snacks, including yoghurts for the Finnish and Swedish markets, as well as plant-based Oddlygood® snack products. The Jyväskylä plant produces milk, cream, lactose-free specialty milk products, and a variety of snack and dairy products for both the domestic market and export. In Joensuu, Valio produces powders and plant-based products in addition to cheeses.
“The aim of the change is to secure the conditions for success also in the future and to ensure that we can continue to create value for our owners, Valio’s dairy farmers. By consolidating production at our other plants, we will strengthen the profitability and competitiveness of our operations in a situation where costs have risen and competition in the dairy market has intensified further,” Juha Penttilä says.
Product deliveries to customers will continue as normal.
Valio employs a total of approximately 4,000 people in Finland. Valio is owned by around 3,000 Finnish dairy farms through local cooperatives.
