Nov 12, 7:00 PM
Cremo to Centralise Production in Fribourg as Part of Major Restructuring Plan
The Swiss dairy processor will close or sell four sites by 2030 following multi-million franc losses.
Swiss dairy processor Cremo has announced a major restructuring plan to consolidate its entire production at its headquarters in Villars-sur-Glâne in the canton of Fribourg by 2030. The company, which currently employs more than 660 people, faced cumulative losses of over 75 million Swiss francs over the past four years due to outdated infrastructure, underinvestment, and overcapacities across five operational sites.
Under the new strategic plan, Cremo will focus exclusively on three core product lines: butter and milk fats, milk powder and proteins, and cheese, with an emphasis on AOP-certified products. Production will be withdrawn from four other locations, including Düdingen, Siders, Turtmann, and Le Mont-sur-Lausanne. Chief Executive Officer Xavier Monange stated that the company is seeking buyers for the plants in Siders and Le Mont-sur-Lausanne.
The Siders facility produces Raclette cheese under the AOP seal of origin, a designation that legally prevents the relocation of production outside the defined region. Monange acknowledged that job cuts would be unavoidable, noting that the central site in Villars-sur-Glâne will only retain roughly 60 percent of the company's current total workforce once the transition is complete.
The announcement has prompted government action in the canton of Valais, where Cremo plays a central role in the regional cheese industry. Gérald Dayer, head of the Valais agricultural department, announced the creation of a taskforce to evaluate options for the affected sites, pointing out that public authorities in Valais have invested over 40 million Swiss francs into local dairies over the past decade.
In contrast, the canton of Fribourg does not intend to intervene directly in the private firm's operations. Fribourg's Minister of Economic Affairs, Didier Castella, described the centralisation plan as an important signal for Swiss milk processing, emphasizing Cremo's role in absorbing surplus milk to regulate the market. Cremo plans to reinvest freed funds into modernising, automating, and digitalising its Villars-sur-Glâne facility.
Written by Thomas Nussbaumer thomas.nussbaumer@alpineweekly.com
