Lactalis USA to invest US$75M in its New York dairy facilities

USA – Lactalis USA, a regional operator of the France-based Lactalis, has announced that it will invest more than US$75 million to modernise its manufacturing facilities in Walton and Buffalo, New York, aimed at enhancing operational efficiency in the dairy sector.

This investment is expected to retain over 800 jobs and create more than 50 new positions, further solidifying New York’s role as a key player in the national dairy industry.

The Walton facility, known for producing Breakstone’s Sour Cream and Cottage Cheese, will undergo a US$15 million upgrade focused on automating production lines to increase capacity and sustainability.

These enhancements are projected to boost output by 30% and create approximately 20 new jobs. Key improvements will include new fillers, HEPA air filtration systems and advanced lab equipment.

In Buffalo, Lactalis plans to invest US$60 million to expand its production capabilities for Galbani Ricotta, Mozzarella and Provolone cheese.

The expansion will feature the installation of advanced processing equipment, including six new 50,000-pound vats, which will increase mozzarella and provolone production by 37 million pounds annually.

The Buffalo plant will also incorporate energy-efficient technologies, reflecting the industry’s shift towards sustainability.

Lactalis USA’s CEO, Esteve Torrens, emphasised the significance of these facilities to the company’s growth strategy in the USA.

“Our plants in New York are vital to our operations, and this investment is a testament to our commitment to the local communities and the dairy farmers who supply us,” he said.

The projects, supported by New York Governor Kathy Hochul and the Empire State Development (ESD), aim to bolster the local dairy economy by processing over 800 million pounds of raw milk annually sourced from 236 local dairy farmers.

The ESD has offered financial incentives, including US$750,000 in Excelsior Jobs Program tax credits for the Walton project and US$550,000 for the Buffalo expansion. These incentives are contingent upon Lactalis’s commitments to job retention and creation.

This investment aligns with New York State’s ongoing efforts to position itself as a leader in the dairy industry, which is the largest sector of the state’s agricultural economy.

Agriculture Commissioner Richard A Ball noted that the expansion not only secures existing jobs but also fosters growth in the dairy farming community, which is essential for maintaining high-quality dairy production.

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