Dairy plant closure in Sussex, N.B., prompts questions about money at Miramichi plant

The Sussex-area community is reacting to the closure of an Argropur dairy facility and the subsequent job losses.

Leaders in the Sussex, N.B., area say the provincial government must answer questions about the pending closure of Agropur’s local dairy plant, especially with taxpayers’ money being used to expand the company’s plant in Miramichi.

There’s also conflicting information from Premier Susan Holt and Agropur on whether there will be a net loss or net gain of jobs between the two facilities.

On Thursday, Agropur announced its plan to expand production in Bedford, N.S., and Miramichi, N.B., while also ending operations in Truro, N.S., and Sussex, N.B.

Agropur said the Sussex-area facility – which makes butter and powdered milk products – is expected to close by the end of 2028, resulting in approximately 60 job losses.

“It’s been absolutely devastating news for this community, there’s no question about it,” said Tammy Scott, the Progressive Conservative MLA for Sussex-Three Rivers. “We do not have these jobs to lose in this region.”

Employees were reportedly informed about the decision on Wednesday night.

Alan Brown, the mayor of Butternut Vallery (where the facility is located), said the loss of 60 jobs will be felt beyond the facility.

“It’s not just those jobs,” said Brown. “It’s the trickle-down effect it will have for suppliers, for maintenance, for equipment, for transport.”

The company says a $20-million expansion at its Miramichi facility will create 15 skilled jobs. In February, the New Brunswick government announced funding of up to $2.4 million in a non-repayable contribution to modernize the Miramichi plant and expand its milk processing capacity.

On Thursday, Holt said there are “going to be more jobs with Agropur at the end of the day” in New Brunswick.

“We can feel for the folks in Sussex who are hearing the news about the shift of that work,” said Holt. “And we’re grateful that Agropur has committed to supporting those employees if they choose to relocate to where the new opportunities are. Agropur is growing in the Miramichi. And actually, at the end of this, they will have net more employment and activity in New Brunswick than they do today.”

When asked about inconsistent information coming from the company, Holt said she would follow up with reporters.

Requests for comment from the premier’s office, Opportunities NB and Agropur were not returned on Friday.

Scott-Wallace said she spoke directly with Agropur officials on Thursday.

“Certainly, there was no indication given to me that there was going to be work for any of these (Sussex-area) employees in Miramichi,” said Scott-Wallace.

Luke Randall, minister responsible for Opportunities NB, said the agency didn’t know the full scope of Agropur’s restructuring plans but said it was important to keep the company in the province.

“We wanted to make sure they were keeping part of their business right here in New Brunswick, and that’s what we achieved,” said Randall. “We weren’t privy to exactly what their restricting plan would look like. What we understood as an organization is that we wanted to be part of their future growth strategy.”

Brown said the province’s agreement has proven to be negative for the Sussex-area.

“It leaves a bad taste to think the government basically gave them $2.4 million to close this plant,” said Brown.

Scott-Wallace said she’s requested a meeting with the provincial government to find out exactly what it knew about Agropur’s plan to close its Sussex-area facility, and when.

“I’m absolutely livid to think that the province would even consider giving money to one region that would cause such serious harm to another,” she said.

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