Thailand's CP Meiji is to invest up to THB800m (US$26m) to increase capacity at its Saraburi plant, senior company officials have told just-food.

The central Thailand factory currently produces 200 tonnes of dairy products daily and although the scale of the expansion is not yet finalised, "we are going to be bigger" said one manager.

"The detailed work has to be done in more detail," Prasit Boondoungprasert, CP Meiji's Managing Director said separately, adding construction work was scheduled to begin sometime next year.

The expanded plant will continue to produce three product lines: milk, which accounts for 80% of the current total, pasteurised yoghurt and drinking yoghurt. There are no plans to add to those lines, said Prasit.

It will continue to serve the Thai domestic market where dairy consumption is growing by 10% annually and the niche market of Singapore where it currently has 35% of sales of pasteurised milk, said Prasit.