Gay Lea Foods Co-operative is investing more than C$200m (US$143.5m) to expand cottage cheese production in Canada.
In a statement yesterday (11 August), the dairy group said the funds will help add “advanced” processing technology and “modern” manufacturing capabilities at its Clayson Road plant in Toronto.
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According to Gay Lea Foods, the project will address a national “shortage” of cottage cheese while adding extra capacity across its range of “high-protein” dairy products.
The company expects the expansion to be completed in 2028.
The project is set to generate 75 new roles, including “skilled” manufacturing positions, the co-op said.
Suzanna Dalrymple, the president and CEO of Gay Lea Foods, said: “This investment reflects our confidence in the future of Canadian dairy and in Gay Lea Foods’ role in helping shape it. That future will be built on Canadian dairy farms and in modern processing facilities equipped to respond to evolving consumer preferences.”
Gay Lea Foods described the investment as the “first major milestone” in its around C$450m Network for Growth strategy, which it said is intended to “modernise” its Canadian manufacturing network and prepare it for “evolving” demand.
The strategy is also focused on delivering “long-term value” for its farmer members, added the company.
Gay Lea Foods has about 1,200 dairy farmer members across Ontario and Manitoba.
Established in 1958, the company makes a broad portfolio of dairy products and ingredients under brands such as Gay Lea, Nordica, Salerno, Ivanhoe and Bothwell Cheese.
In May last year, Gay Lea Foods sold Notre Dame Creamery to local peer Fromagerie Chaeban. It took place three years after the co-operative bought Notre Dame Creamery through its 2022 acquisition of Bothwell Cheese.
That transaction also featured a “long-term supply agreement” that will see Notre Dame Creamery continue to source cream from Bothwell Cheese.