Shailesh Vara MP has welcomed the decision by Oatly, a global leader in the making of oat drinks, to open its first UK factory in Peterborough. The factory will be based in Mr Vara’s North West Cambridgeshire constituency which includes parts of the city.

Oatly is headquartered in Sweden and is the world’s original, and largest, producer of oat drinks.

The investment will be seen as a sign of confidence in the future of the UK as the country pursues a new path outside the European Union and seeks to recover from the economic consequences of the coronavirus pandemic.

The new premises will be one of the world’s largest plant-based dairy factories, producing 300 million litres of oat drinks with capacity to increase production to 450 million litres.

Work is expected to commence soon on the construction of the state-of-the-art premises with production expected to commence in early 2023.

As well as providing employment during the construction stage, once completed, the factory is due to bring in at least 200 new jobs to the area.

The site will provide an end-to-end solution, using oats sourced from across the UK and supplying the domestic market with its plant based dairy produce.

Oatly place considerable importance on sustainability and have made it central to their production process. The company will strive to ensure that by 2029 it uses 100% renewable energy and that it decreases its energy and water consumption as well as waste by 75% compared to 2019.

Mr Vara said:

“This is fantastic news. Oatly are a global leader in their sector and it is a massive show of confidence in the UK for them to open a factory here.

As the UK pursues its path outside the European Union and seeks economic recovery following the coronavirus pandemic, I am delighted they will be coming to Peterborough in my constituency and creating more jobs and opportunities.

This is also great news for the plant-based industry generally as the company will be sourcing its oats from across the UK.

Oatly’s values of sustainability and protecting the planet align with the city’s ambitions and clearly signify the area as a destination of choice for companies looking to succeed in the UK.

I look forward to working closely with the company as it invests in the local community and develops its workforce in the lead up to the opening of the factory.”