Two dairies will close as producers sell milk abroad

The Czech dairy concern Madeta will close two of its plants in Ceske Budejovice and Strakonice, South Bohemia, Czech TV reported on Saturday. Its major milk supplier has cancelled all deliveries for the South Bohemian company. By March 2008, the local milk producer will only be selling milk to German companies because they offer higher prices. The dairy concern will now have to look elsewhere for milk supplies and about 200 employees will lose their jobs as a result. Madeta is the largest Czech milk processing company with about 1500 employees. About 25 percent of its products are sold at foreign markets, including the United States, Russia and various EU countries.