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Bega Group will shut its cheese processing and packaging plant in Strathmerton, Victoria, to consolidate operations at its Ridge Street factory in Bega. The decision impacts around 300 employees in Strathmerton and will create 100 jobs in Bega.

A phased closure of Strathmerton is expected to be completed by mid-2026. CEO Pete Findlay said the decision is expected to save $30 million a year by eliminating duplication and reducing fixed costs.

“We are very aware of the impact of this decision, and we are doing our best to manage this transition with care and respect for our Strathmerton employees and the local community.

“This will be a phased closure, with the Strathmerton site continuing to operate until mid-2026, which will enable many of the impacted employees to have ongoing employment during this time. Where possible, we will offer re-deployment to employees and continue to support them through this period,” Findlay said. 

The group expects to invest $50 million in upgrading the Bega plant.

Packaging News

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Economic analysis commissioned by SPSA estimates national recycling reforms could deliver up to $278m in net productivity gains and stimulate up to $2.6b in capital investment each year.