New Zealand Dairies Limited (NZDL) is committing NZ$100m (US$74.5m) to expand production facilities at its Studholme site.
The company’s spokesperson told just-food that it is installing a second dryer to produce infant formula products aimed at the Chinese and South East Asian markets.
Since September 2007, NZDL has processed high-quality milk powders and the second season of processing will begin this month.
Representatives of Russia-based Nutritek Group, the major shareholder of NZDL, announced extensive plans to expand the processing facilities during a recent visit.
Nutritek has also expressed an interest in NZDL making wet baby foods and purees in New Zealand for the Asian market.
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By GlobalDataIn May, the New Zealand government gave the green light to Nutritek, which has a 51% stake in NZDL, to buy up the rest of the company over a one-year period.