Wiseman sour despite output hike

ROBERT Wiseman Dairies, Britain's number three dairy producer, has smashed through the billion-litre-a-year milk level thanks to an enormous new plant, but profits fell sharply last year.

The Droitwich Spa dairy, operating for just over a year, processes more than 200m litres a year. However, it launched into weak markets for the dairy industry, contributing to falling profits for the group in the year to 30 March. Chairman Alan Wiseman said: 'The butter market was weak, the cheese market was weak and raw milk prices have dropped from 1 April.'

Pre-tax profits fell to £16.5m from £18.5m, despite sales rising to £371.1m from £300.2m a year earlier. The total dividend rises to 4.85p a share from 4.7p.

A long-running Office of Fair Trading probe into its competition position in Scotland has cost it £700,000 in advisory fees. A ruling is thought imminent.