Lion to invest $40 million in its Perth dairy


Monday, 25 January, 2016

The Bentley dairy processing plant in Perth is to be modernised as Lion Dairy & Drinks (LDD) commits to a $40m investment over the next three years.

Money from the sale of surplus land assets will fund:

  • the construction of a new Western Australian distribution centre;
  • the installation of one-way packaging technology, and a new filling line, to expand manufacturing capacity in milk-based beverages and enhance LDD’s efficiency in white milk. This will help meet growing demand for LDD’s brands such as Dare Iced Coffee and also support plans to grow the WA Masters brand together with LDD’s white milk business;
  • a significant upgrade of buildings and amenities;
  • new internal roads and a new north/west exit to enhance driver safety and reduce vehicle traffic in adjacent residential areas.

To improve the efficiency and flexibility of its logistics and distribution arrangements, LDD will consolidate its existing multiple depot footprint to a single new depot on-site at Bentley.

As part of this decision, LDD will outsource its warehouse operations to Linfox allowing the company to take advantage of their expertise to drive greater efficiencies around the business. Unfortunately, as a result of this change, 30 logistics roles at the Bentley site will be made redundant.

All Lion people whose jobs have been impacted will receive their full entitlements and will be offered outplacement support.  Redeployment opportunities along with relocation assistance will be offered where appropriate.

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