The Competition and Markets Authority (CMA) has given the go-ahead for Müller UK and Ireland's purchase of Yew Tree Dairy, a deal first revealed in June.

Yew Tree Dairy, a family-run business based in Skelmersdale, West Lancashire, has primarily focused on selling milk powders, bulk cream, and raw liquid milk across the UK and Europe.

The acquisition, expected to be finalised by the end of this month, will allow Müller to use Yew Tree Dairy’s milk powder production to expand its export operations and ‘drive supply chain resilience’.

In a statement released on Tuesday, October 22, Müller expressed that the acquisition would ‘secure a positive future for the British dairy industry’.

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In August, the CMA began a merger inquiry to assess whether the deal would lead to a significant reduction in competition within the UK market for goods or services.

Recently, the competition regulator announced on its website that the investigation has concluded, with the full details of the decision to be made available soon.

Müller stated it plans to use its internal expertise to enhance its milk drying capacity, positioning itself as a leading producer and exporter of British-made powdered milk products, using milk from UK dairy farms.

CEO of Müller Milk and Ingredients Rob Hutchison said: “This acquisition will drive significant progress towards MMI’s purpose to deliver a better dairy future.

“The British dairy industry is world-renowned for its approach to sustainability, quality and welfare and so, not only does this acquisition underline our ambition to grow our business, but also a commitment to ensuring our customers, farmers and consumers will all feel the benefit.

“We’re excited to welcome our new colleagues from Yew Tree Dairy to Müller, and I look forward to meeting them all in the coming weeks and opening a new chapter for both businesses and the wider supply chain.” he added.

Carl Woodcock of Yew Tree Dairy stated that ‘as a family-owned and operated company’, they take great pride in what they’ve built ‘over the past few decades’.

He said: “It was important for us to hand over the reins to people who’d look after the business with the same care and consideration as we have over the years, and we’re confident that the values and goals we’ve seen from the Müller family are similar to our own.

“Joining Müller will help Yew Tree Dairy go from strength to strength, benefitting our staff, farmers and customers and creating a strong and successful future for the British dairy industry.”