Awaiting verdict on United Dairy Power factories

After about 18 months of uncertainty, receivers took control of the two UDP sites last week and immediately began to wind down operations.

A UDP employee of more than 20 years said staff numbers at one of the sites had dwindled down to only a handful of people this week as they finished productions.

"We are not 100 per cent sure if we are going to finish up this Friday or continue beyond that ... our casuals have already been terminated," he said.

"We haven't been given a definite cut-off date but there's no certainty that we will be here next week.

"I have started putting resumes around and using the people network, and other employees I have spoken to are doing the same.

"We've got a few people that are old enough to retire but the younger ones, who knows what they will do."

UDP managed to sell certain assets of the business to other industry operators last week, but informed staff that the Murray Bridge and Jervois plants were not part of the sale and that trading would cease.

The money from those sales is expected to contribute to employee payouts, but that too remained uncertain.

"We are confident we will receive our redundancies but until the money is in the bank you don't know," the UDP employee said.

"Our redundancies are a priority over other debtors."

Member for Hammond Adrian Pederick said he was doing everything possible to help the sale of the plants and to continue operations which, in turn, would save more than 100 local jobs.

"I am discussing options with potential buyers ... (and) it's far more than talk," he said.

"Where there's life there's hope and I'm willing to do all I can with these potential buyers, either setting up hearings or organising meetings with the (State) Government."

Mr Pederick mentioned payroll tax and stamp duty exemptions as a way of moving forward, but also recognised that the volume of milk would need to be increased to make it viable.

"I would like to think there is still an opportunity for someone to make strong again and revive the dairy industry here in South Australia," he said.

"I don't think it helped the situation that the plants were only operating at less than 40 per cent capacity, so they obviously needed more milk.

"I would like to think, if the plants do find a buyer, that they will work with the South Australian Dairyfarmers' Association to getting milk back there.

"We've still got a lot of production; even though there's a lot less farmers there's the same amount of cows."