Arla Foods Ingredients is investing €38 million (US$49.85 million) in a new factory in Denmark to meet the demand for whey protein hydrolysates.
The company says the investment will further strengthen the company’s position as a global leader in natural whey ingredients.
The manufacturing plant is to be located next to Arla Foods Ingredients’ existing whey protein facility in Videbæk, Denmark, where the company is also in the process of building a new lactose factory.
The whey protein factory is scheduled to be fully operational towards the end of 2016.
The new factory will reportedly increase three-fold of the company’s capacity to produce whey protein hydrolysates, a ‘gold standard’ form of whey that offers superior benefits compared with intact proteins, and has applications in the infant, sports and clinical nutrition categories.
“When we speak with our customers they make it clear that whey protein hydrolysates are a very big part of their future plans and they are keen to work with companies who can guarantee ongoing security of supply,” says CEO Henrik Andersen.
“The investment in this factory sends out a strong signal that Arla Foods Ingredients will continue to be at the vanguard of the hydrolysates sector and that we will be able to satisfy demand while adhering to the strictest quality and safety standards.”
The new factory in Videbæk will further the commitments made by Arla Foods Ingredients through its ‘Quality starts here’ brand platform, which includes “promising our customers security of supply backed by adequate capacity, logistics and documentation”, says Andersen.