Thursday, October 18, 2018
 Fonterra Invests in New UHT Processing Plant  

Fonterra will invest more than  $84.2 million (US dollars) in a new processing plant for long-life milk at its existing Waitoa, New Zealand dairy processing site. This plant will feature five new ultra-high temperature (UHT) processing lines manufacturing products including milk and cream.

Chief executive Theo Spierings said the move would bring 50 new jobs and construction work to the region, and provide new opportunities for Fonterra farmers in the North Island.

The new plant would meet growing demand in Asia for long-life milk products, Spierings said. "The new plant will enable us to increase our UHT production by 100 percent over the next few years," Spierings said.

He said that by focusing the new plant on servicing markets in Asia, Fonterra would be able to concentrate all of its domestic UHT production at Takanini in Auckland, including milk for its Fonterra Milk for Schools program.

The new plant will also open up new winter milking opportunities for North Island farmers.

Milk supply in New Zealand was seasonal because it was influenced by grass growth, Spierings said.
"However UHT production requires year-round milk supply so we will be talking to our farmers about the opportunity for more of them to take up winter milk contracts.

"This will enable them to take advantage of the milk price premium that these contracts include."

Source: Stuff

Posted on Wednesday, February 27, 2013 (Archive on Wednesday, March 06, 2013)
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