It is unclear as to what the future direction of North Cork Creameries will be as a proposed deal with Carbery Group is, as it currently stands, not proceeding, Agriland understands.
It had emerged previously that Carbery Group was to take and process some of the milk supplied to North Cork Creameries.
The move came as the plant has been forced to cease processing activity, after the Environmental Protection Agency (EPA) suspended the dairy business' licence to discharge water from its wastewater treatment plant.
Sources close to the Kanturk co-op said that as it stands today (Tuesday, March 10), the deal with Carbery is not proceeding.
It is understood there was supplier concern about the deal also.
This development would place the co-op in a difficult position and without a deal, there is uncertainty as to what will happen with the milk North Cork Creameries takes in.
It is unclear as to what the future direction of North Cork Creameries will be.
Trade union SIPTU has said it intends to engage with North Cork Creameries "to explore alternatives to the proposed job losses".
Workers at North Cork Creameries were informed last week by management there that their jobs at the plant are at risk.
Up to 100 jobs could be lost at the plant.
SIPTU representatives are seeking an urgent meeting with senior management at North Cork Creameries.