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Scots dairy aims to boost its share of butter market

Robert Graham and Richard Lochhead
Robert Graham and Richard Lochhead

Scotland’s largest independent dairy company – Graham’s The Family Dairy – is on a mission to replace imported butter with Scottish-produced spreads.

The Bridge of Allan-based firm has expanded its butter offering with the launch of its lighter slightly salted spreadable Scottish butter and organic spreadable Scottish butter.

This follows £1million investment in its butter-making facilities, with support from the Scottish Government’s Food Processing, Marketing and Co-operation grant.

According to the dairy, Scotland’s spreadable butter market has an estimated value of £63million and accounts for £3 of every £4 spent on butter.

The company’s managing director, Robert Graham, said: “Spreadables account for 70% of butter sales in Scotland, but a staggering 96% of that spreadable butter isn’t made in our country.

“Graham’s Spreadable Butter is the only Scottish spreadable and is already the fastest-growing spread on the market, with sales up 76% year-on-year but this is just 4% of the market share.”

He said the firm was focused on growing its presence in supermarkets across Scotland before looking to markets south of the border.

“Looking further ahead, we’re also exploring the export market and will be attending the world’s largest food fair – Anuga in Cologne – in October to consider opportunities,” added Mr Graham.

Commenting on the product launches, Farm Minister Richard Lochhead said: “Graham’s is a great Scottish success story and should be applauded for the work they’re doing to encourage consumers to support the local dairy sector – incredibly theirs is the only Scottish spreadable butter available on the market. I’ve no doubt this latest venture will help Graham’s cement their reputation as one of Scotland’s leading dairy companies and brands.”

Graham’s also produces liquid milk, cream, cheese and ice-cream from milk produced by its 98 farmer suppliers.

Earlier this year the company announced plans to build a new £20million dairy, research centre and training academy in Stirling.

The new site is expected to create 450 jobs, including local apprenticeships, and it would be in addition to the existing operations at Airthrey Kerse in Bridge of Allan, its processing plant in Nairn and its depots throughout Scotland.