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The Assembly Member for Carmarthen East and Dinefwr, Rhodri Glyn Thomas, says he has been contacted by South Caernarfon Creameries which have expressed an interest in purchasing milk from local farmers.
Mr Thomas said the move was "encouraging" and that he had contacted local farming unions to bring the development to their attention.
The closure of a Carmarthenshire cheese factory will push down the milk price paid to local farmers, the FUW has warned. It says the loss of the Saputo factory at Newcastle Emlyn, would be a 'hammer blow' both to the farmers who supply it and to the 70 employees who will lose their jobs.
The union fears that if a buyer is not found for the factory, more Welsh milk will be sent many miles to be turned into cheese or milk powder in England. Less money will be paid to farmers and more spent on haulage costs.
70 jobs are at risk after the Canadian company Saputo announced it was closing its Newcastle Emlyn cheese plant. The company has said there will be a 30-day consultation.
The union, NFU Cymru, said the news was a "big blow" to the area because Saputo was "a major employer in a very rural area of Wales."