Fonterra's major upgrade at its Eltham plant will increase cheese production by 20,000 tonnes to meet growing global demand for natural cheese.
Fonterra's Bold Cheese Move Eltham Plant Expands
(Image credit: Fonterra).

New Zealand Dairy Giant Boosts Eltham Plant’s Cheese Production to Meet Surging Global Demand for High-Quality Natural Varieties.

In a significant strategic move for the global dairy sector, Fonterra has completed a major upgrade at its Eltham facility, dramatically increasing its cheese production capacity. This substantial NZ$70 million investment, part of the cooperative’s broader strategy to shift towards higher-value products, will allow the plant to produce an additional 20,000 tonnes of cheese annually. This new output, which will focus on popular varieties like Edam and Gouda, is a direct response to surging international demand for natural, high-quality cheese.

The decision to invest in the Eltham site is a crucial piece of data journalism that signals Fonterra’s commitment to capitalizing on premium market segments. By expanding production of Edam and Gouda, the cooperative is positioning itself to meet the specific consumer preferences of key international markets, particularly in Asia and the Middle East. This focus on adding value through specialized products is a defining trend in modern dairy economics, as companies seek to move beyond the volatility of commodity markets.

The upgrade has also had a significant and positive impact on the local community. The investment secures the future of the Eltham manufacturing site and the jobs of more than 100 local employees. This commitment to the Taranaki region demonstrates how major agribusiness decisions can have far-reaching local benefits, supporting both the workforce and the dairy farmers who supply the plant with a steady stream of milk.

To achieve this impressive increase in capacity, Fonterra installed a new state-of-the-art automated cheese production line. This technology will allow the plant to produce a consistent and high-quality product at a much greater scale. The new packing line and storage facility, also part of the upgrade, will ensure that the increased volume of cheese can be processed efficiently and prepared for export to its target markets around the world.

In essence, the Eltham plant upgrade is a microcosm of Fonterra’s global strategy. It represents a forward-looking investment in infrastructure that will help one of the world’s largest dairy exporters meet evolving consumer demands. For the international dairy community, it serves as a powerful example of how focusing on craftsmanship, efficiency, and market-specific value-added products is key to achieving sustainable growth and maintaining a competitive edge.

Source: FoodIngredientsFirst.com: Fonterra Eltham increases cheese production

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