April 6, 2022
Borden Dairy, Inc. has confirmed that it will be closing two of its milk plants in the southeast, one located at Charleston, SC, and the other in Miami, FL.
Closures are anticipated to be complete by May, 2022.
Borden Dairy Company has provided the following statement:
One plant is located at Charleston, SC, and is often referred to as “the Coburg Dairy,” still referencing and going back to the plant’s founding as Coburg Dairy in 1920. The Coburg Cow is a popular regional landmark, and even has her own Facebook page.
Borden’s Charleston Operation is said to generate approximately $81 Million in annual sales, and has a total workforce of 265 staff members.
The second plant is located at Miami, FL, and the South Florida Business Journal is reporting the property may have already been sold for $21.75 million, almost double what New Dairy Opco paid for the property it purchased through the Borden bankruptcy proceedings of 2020. Approximately 154 employees will be affected by the closure.
These closures will have a ripple effect across the southeast and beyond, as farms will likely incur additional transport costs for getting milk to other markets, and milk haulers (those who haul milk from dairy farms to processing plants) will have to adjust delivery routes.
The Borden company is known to source milk from both independently contracted farms and from milk co-ops, although it is not known how that mix was proportioned at either Charleston or Miami.
School systems and food retailers served by these plants, largely on the southeast coast and in coastal states, will have to find other sources for fresh milk on their shelves.
In the extended circle of the milk supply chain, school systems who are sourced by the Charleston plant are in the process of being notified; farmers and co-ops who supplied milk to these plants, as well as milk haulers who conveyed milk into these delivery destinations have been notified.
Borden Dairy, Inc. is headquartered at Dallas, TX. The company is led by Chairman and Chief Executive Officer Gregg Engles, a former owner of Dean Foods. Pat Boyle is the company’s President.
Borden Dairy operations nationally involve over 3000 employees, 12 milk plants, and over 90 branches in the processing and distribution of milk and dairy products. Borden’s Dutch Chocolate Whole Milk is deemed to be one of the best commercially processed chocolate milks on the market.
This is an evolving story; additional information will be posted as it becomes available.