Hiland Dairy opens US$100M dairy production

USA – Hiland Dairy has opened a new US$100 million production facility, which involves the expansion and renovation of a historic downtown site that has been in operation for nearly a century.

The facility, located at a site formerly owned by Brookshire’s, has been active since 1928. The newly renovated plant is expected to provide 250 jobs and produce 10 million gallons of milk annually for the East Texas region.

The purchasing and renovation of the downtown facility took nine years to complete. Despite the extensive construction and expansion work, manufacturing operations continued at the site throughout the entire transition period.

Hiland Dairy said that a primary goal of the facility is to distribute milk to local hospitals, businesses and educational institutions. The company currently provides dairy products to the Tyler Independent School District and several surrounding school systems.

Concurrently, the company announced a leadership transition at its Dallas-Fort Worth operation following the retirement of longtime dairy industry leader Ray Gibson, who has served the region’s dairy market for more than four decades.

As part of the leadership transition, Hiland Dairy has named Mike Leibacher as general manager of the Dallas operation, effective March 1, 2026.

Leibacher brings more than 23 years of experience in the dairy industry. Since joining Hiland in 2019, he has held several leadership roles, including key account manager, branch manager, and, most recently, district sales manager in Dallas. His experience spans operations, merchandising, sales, and national account management.

Also assuming an expanded leadership role is Julian Hernandez, who has been named assistant manager/controller. Hernandez joined the organization in 2017 and has advanced through several financial leadership positions.

Following Hiland Dairy’s acquisition of the Texas operations in 2022, he was named controller and has played a key role supporting operational performance and financial processes.

Recently, the company relaunched its fresh Lactose-Free Milk, available in select markets in gallon sizes, including Whole Milk and 2% Reduced Fat Milk.

“For many consumers, walking away from milk felt more like a breakup than a preference,” said Sarah Carey, Marketing Manager at Hiland Dairy. “Hiland’s fresh Lactose Free Milk offers a way back – real, fresh milk without the lactose, so anyone can enjoy it again comfortably and confidently.”

The milk provides the nutritional benefits of traditional milk, including 13 essential nutrients, with lactose removed by adding the lactase enzyme, which helps break it down for easier digestion.

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