{"id":12217,"date":"2014-08-27T00:00:00","date_gmt":"2014-08-26T12:00:00","guid":{"rendered":"https:\/\/www.farmersweekly.co.nz\/fonterra-invests-555m-to-build-new-dairy-plants-in-nz\/"},"modified":"2014-08-27T00:00:00","modified_gmt":"2014-08-26T12:00:00","slug":"fonterra-invests-555m-to-build-new-dairy-plants-in-nz","status":"publish","type":"post","link":"https:\/\/www.farmersweekly.co.nz\/news\/fonterra-invests-555m-to-build-new-dairy-plants-in-nz\/","title":{"rendered":"Fonterra invests $555m to build new dairy plants in NZ"},"content":{"rendered":"Reading Time: <\/span> 2<\/span> minutes<\/span><\/span>

Fonterra\u2019s CEO Theo Spierings said this investment, totalling $555 million, will not only grow the Co-operative\u2019s processing capability but allow for more flexibility to better optimise production.<\/p>\n

\u201cOur strategy is to increase earnings by driving more milk volume into higher value categories globally by turning the wheel from commodities to higher-margin products,\u201d he said.<\/p>\n

\u201cBy creating more options for our New Zealand operations we are better placed to be able to make the product mix that delivers the greatest returns to our farmers and meet the needs of our consumers and customers worldwide.\u201d<\/p>\n

Approval has been given to build a drier at the Lichfield site in South Waikato:<\/p>\n

    \n
  • Capable of processing up to 4.4 million litres per day<\/li>\n
  • Similar in size to the world\u2019s largest drier at Darfield which produces up to 30 metric tonnes of Whole Milk Powder per hour, and 700 metric tonnes per day<\/li>\n
  • Will use the latest energy-efficient processing and water reuse technology.<\/li>\n<\/ul>\n

    Three plants will also be installed at the Edendale site in Southland:<\/p>\n

      \n
    • Milk Protein Concentrate (MPC) plant which separates protein from skim milk and turns it into protein powder \u2013 capable of processing 1.1 million litres per day<\/li>\n
    • Reverse Osmosis (RO) plant which will increase capacity on an existing drier by 300,000 litres per day<\/li>\n
    • Anhydrous Milk Fat (AMF) plant capable of processing 550,000 litres of milk into cream per day.<\/li>\n<\/ul>\n

      Fonterra Managing Director of Global Operations Robert Spurway said the Co-operative has invested more than $1.8 billion to grow processing capacity since 2011.<\/p>\n

      \u201cWe are investing ahead of the milk growth curve to give us the flexibility to take advantage of relative market prices, including during the peak season. It will also accommodate growth from existing farmers and new volume from joining farmers,\u201d he said.<\/p>\n

      \n

      \u201cWe are investing ahead of the milk growth curve to give us the flexibility to take advantage of relative market prices, including during the peak season." <\/span><\/p>\n

      Robert Spurway,\u00a0<\/strong><\/p>\n

      Fonterra Managing Director of Global Operations<\/strong><\/p>\n<\/blockquote>\n

      \u201cWe have to ensure we have the right balance with having the capacity to cope with additional milk produced during the peak of the season, while making sure we avoid having millions of dollars\u2019 worth of infrastructure standing idle in our quieter months.\u201d<\/p>\n

      Mr Spurway said Waikato and Southland are important regions for Fonterra and both investments will mean more employment opportunities for the local communities.<\/p>\n

      \u201cThere will be 50 full-time jobs at Lichfield once the drier is complete and 25 more roles will be created once the plants are finished at Edendale. That\u2019s on top of the hundreds of builders, labourers and others who will be working during the construction phase.\u201d<\/p>\n","protected":false},"excerpt":{"rendered":"Fonterra\u2019s Board has given the green light to build a new high efficiency milk powder drier in the North Island and further increase milk processing capacity in the South Island to help meet global demand for dairy products.\n","protected":false},"author":33,"featured_media":12218,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_FSMCFIC_featured_image_caption":"","_FSMCFIC_featured_image_nocaption":"","_FSMCFIC_featured_image_hide":"","footnotes":""},"categories":[3],"tags":[],"aioseo_notices":[],"aioseo_head":"\n\t\t\n\t\t\n\t\t\n\t\t\n\t\t\n\t\t\n\t\t\n\t\t\n\t\t\n\t\t\n\t\t\n\t\t\n\t\t\n\t\t\n\t\t\n\t\t\n\t\t\n\t\t\n\t\t\n\t\t\n\t\t\n\t\t\n\t\t\n\t\t\n\t\t\n\t\t\n\t\t\n\t\t\n\t\t