cheese market growth | Global Mozzarella Boom Fuels Fonterra Expansion

Fonterra upgrades its Clandeboye site as rising global mozzarella demand boosts value-added dairy opportunities.

Edited by: Damián Morais

Rising international demand for mozzarella is driving major capability upgrades at Fonterra’s Clandeboye site as the co-op strengthens its value-added dairy strategy.

Strong global demand for mozzarella cheese is prompting Fonterra to enhance production capabilities at its Clandeboye manufacturing site in New Zealand. The investment reflects growing international appetite for mozzarella across foodservice and retail markets, particularly as pizza consumption and convenience food categories continue expanding worldwide.

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The company said the capability uplift at Clandeboye is designed to improve operational flexibility, efficiency, and product output. By strengthening mozzarella production capacity, Fonterra aims to capture higher-value opportunities in global dairy markets while supporting long-term returns for farmer shareholders.

Mozzarella has become one of the fastest-growing cheese categories internationally due to increasing demand from quick-service restaurants, food manufacturers, and consumers seeking versatile dairy ingredients. Fonterra noted that the investment aligns with its broader strategic focus on value-added dairy products with strong export potential.

The project also highlights the importance of New Zealand’s dairy processing infrastructure in supporting export growth. Upgrades at the Clandeboye facility are expected to improve manufacturing performance and help the co-operative respond more efficiently to changing global dairy demand patterns.

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