The development is the second significant expansion of oat milling operations announced this year. Canadian agribusiness Richardson International Limited announced substantial investment at its oat mill in Bedford to boost capacity by at least 35%. Separately, last month Swedish oat drink firm Oatly announced the construction of its first UK factory, which it claims will create 200 jobs.
Morning Foods's new project includes the installation of advanced milling equipment and process upgrades, allowing for an increase in the company's range and variety of oat products and supply to new domestic and overseas markets.
As part of the new development the company said it would introduce new technologies to significantly reduce the carbon footprint of the site and its products. The new facility is expected to be completed in 2023-24 and is designed to support the business’s programme of continual improvement and high quality oat production.
“I am hugely excited to announce this expansion programme and demonstrate our total commitment to the quality and variety of oat products milled in Crewe," said Morning Foods managing director John Lea.
'Commitment to UK oat crop'
"We are a long-standing supporter of British farming and this significant investment will enhance our commitment to the oat crop in the UK."
The Crewe factory has already benefited from a multi-million-pound upgrade over the last few years. The new project complemented this by substantially increasing its output in an environmentally sustainable way, Morning Foods said, reassuring customers that construction would not interfere with production.
The project has been financed by Barclays who have been bankers to Morning Foods for many years. Barclays relationship director Paul Devenport said: “We are again delighted to have been instrumental in facilitating this new funding deal for Morning Foods which will give them the ability to ensure that they remain at the leading edge of food manufacturing in the UK and into the future.”
Morning Foods has been milling oats in the UK for over 80 years and traces its history back to 1675. It has grown to be one of Europe’s largest Oat Millers supplying its oat-based products to more than 75 countries around the world.
The company's products include rolled oats, jumbo oats, oatmill, groats, pinhead oats, oat bran and oat flour.