Work starts on new Oatly factory

By Gwen Ridler

- Last updated on GMT

Left to right: Roger Antrobus of IFP Construction with Vette Ramos and Dave Baldwin of ISD Solutions
Left to right: Roger Antrobus of IFP Construction with Vette Ramos and Dave Baldwin of ISD Solutions
Construction has begun on a new plant-based dairy factory for oat drink company Oatly in Peterborough.

Pegged to be one of the world’s largest factory for plant-based dairy alternatives, the site will produce 300m litres of oat drink per year and is due to open early 2023.

Construction of the new plant is being overseen by IFP Construction. Gloucester-based ISD Solutions will supply and install more than 45,000m2 ​of panels at the site, with their work to be completed in mid-October.

UK expansion

Oatly announced that it would create a new plant-based drinks factory in the UK in the first quarter of 2023, supported by capital investment expert Integrated Food Projects.

Plans to build the plant come as part of a wider initiative by the manufacturer to build factories with efficient use of resources and minimal negative impact on the planet.

The manufacturer aimed to use 100% renewable energy and decrease its energy consumption, water consumption and waste by 75% each at the factory by 2029 – compared to its environmental footprint in 2019.

Sustainable supplier

Speaking last year, Oatly chief supply chain officer Johan Rabe said: “We look forward to supplying the UK with more oat drink – we’re even more excited to do it in a sustainable way. Even as we strive to grow one of the biggest plant-based dairy factories to its full capacity, this will still be our top priority.”​

Oatly was embroiled in a legal battle with Cambridgeshire-based oat drinks brand Glebe Farm last year over claims of trademark infringement. Glebe Farm won​ after a judge found there was no likelihood of confusion between its PureOaty brand and the look of the carton and any of the Oatly trade marks.

Meanwhile, own-label dry pet food manufacturer GA Pet Food Partners has completed the construction of a new ingredients kitchen​ at its Plocks Farm, Bretherton production plant.

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