Buy Australian: Local support helps Fleurieu Milk Company bounce back from initial sales slump
Thanks to a widespread push to support local producers, Myponga-based Fleurieu Milk Company is now building to meet increased demand.
Lifestyle
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The Fleurieu Milk Company is continuing to rebound strongly from SA’s COVID lockdown earlier this year, after battling through an initial sales downturn.
In fact, thanks to a widespread push to support local producers, the Myponga-based business is now well ahead on where it was this time last year, with increased demand for its range of farm-fresh white milk, flavoured milk, yoghurt and cream.
It is also building for the future, with a recent $1.2 million upgrade of its processing plant and a further $1.5 million investment in the expansion of its cool rooms. With a robotic automation packing system also going in, the total expenditure will be more than $4 million.
“We were facing some pretty concerning challenges around March, to be honest, as was everyone else,” general manager Nick Hutchinson said.
“For a three to four week period we were certainly a fair way down in sales, which left us with a lot of excess milk. But following that time the support to buy local was significant and we picked up a lot of that lost business and retail sales spiked significantly.”
New supply deals with Woolworths and X-Convenience – in addition to increased support from its existing retailers – had also been instrumental, he said.
Mr Hutchinson said the Fleurieu Milk Company – established 15 years ago by three local dairy farming families – was now “actually tracking 65 per cent up” on where it was this time last year.
“So it’s gone from trying to carry our staff through to putting on, I think, somewhere between 20 to 25 new staff members, which is great,” he said.
“It’s actually challenged us in ways that were the total opposite to what we might have expected. Our production is at absolute capacity at the moment.”
The upgrade at the company’s Rowley Road site – set for completion in March – will further boost efficiencies, he said.
Mr Hutchinson said government stimulus measures and a widespread push for people to support local businesses wherever possible had been a godsend.
“It’s what we needed and we’re very proud of what we’ve achieved in the last six months,” he said.
“I don’t think people have necessarily been drinking more milk during COVID … so the focus on getting people to think local has been a very positive shift for us.”
