Selecting a site for food production
10 August 2022When building a new food production facility, there are many factors to consider, with site selection at the top of the list. Here are some top tips to bear in mind that will have a direct impact on the success of your new facility.
1. Geographical logistics
As with all property, the top three considerations are location, location, location. Will significant earthworks be required to prepare the ground for building? Are services available on site or will they have to be brought in? Is there good access to and from the site for materials, products and employees? How close is the site to both suppliers and customers? All of these factors can lead to significant costs and should be considered within the feasibility study.
2. Environmental impacts
What other facilities are in the vicinity, and do they produce emissions that could have an impact on your planned site? Are there opportunities to create energy-efficiency savings through the build? How is wastewater processed and removed from site? Is it an environmentally sensitive area which may require an environmental impact assessment and associated mitigations?
3. Local workforce availability
Even with high levels of automation, factories will always need people to operate, repair and maintain machinery and manage processes and systems. A detailed analysis of the local labour market is an essential part of the feasibility study to understand the costs and availability of skilled and unskilled employees to run your facility.
4. Government incentives
In certain areas, particularly those with high levels of deprivation and unemployment, local authorities may be keen to attract inward investment and may offer support in the form of planning guidance or funding grants towards training and development.
5. Government regulations
Check the local planning policy and any red flags that will put a halt to development such as conservation area or flood zones. Choosing your site carefully will reduce the amount of red tape that you have to negotiate.
6. Facility type
What type of building do you require for your operations? Will you build a greenfield facility or retrofit an existing space? While retrofitting might initially look like the cheaper, quicker option – it can be counter-intuitive. Read more about that here: To buy or not to buy – that is the question… – DDK (ddk-ltd.com)
Food production has many specific food safety, processing and structural requirements that must be taken into consideration when looking at a site.
7. Utilities
Your facility will need adequate electricity, gas, water and sewerage. Is everything you need in terms of utilities available at your preferred site? Is the infrastructure in place to meet your needs? If not, additional time and expense may be required to make the site suitable for your operations or significant redesign of the facility will be needed to accommodate available utilities.
The reality is that no one site will tick every box and be perfect on every level. A detailed feasibility study will consider all of these factors and weight their importance, ultimately providing considered recommendations that will support your decision-making.