Monday 26 September 2016

Drinks maker C&C confirms it will consolidate production at its Clonmel site

Published 12/01/2016 | 18:21

Bulmers
Bulmers

Drinks maker C&C has confirmed that it will consolidate production at its site in Clonmel, Co Tipperary, as it plans to close other facilities in Ireland and England.

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The company, whose brands include Bulmers cider, has for some time been battling challenged sales and a foray into the United States that failed to deliver.

C&C, whose brand stable also includes drinks such as Tennent’s and Blackthorn, said that it will close its plants at Borrisoleigh in Co Tipperary, and at Shepton Mallet in England.

That will result in the loss of about 267 jobs, with 124 of those going at the Irish facility, which bottles water.

Another 20 jobs will be lost at depots in Portlaoise and New Ross.

But C&C said it will create 10 new jobs at a depot in Kilkenny and another 80 at its manufacturing site in Clonmel, which will become the core production facility for Bulmers and Magners cider.

It plans to invest €10m in the Clonmel plant.

C&C uses the Magners name for the cider in Britain because the Bulmers trademark is owned there by a Heineken subsidiary. “The trading environment in the UK and Ireland has been intensely competitive over recent years,” said C&C.

“This has led to significant downward pricing pressure and the loss of material contracts for private label water.

“Current capacity utilisation across the three impacted sites is 34pc, constraining C&C’s ability to compete over the longer term.”

It added: “This has been a difficult decision for the group and it is sad that the consolidation of production at the Clonmel site is the only viable option to maintain long-term competitiveness.”

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