The new Tyler facility will sharply expand milk output, create jobs and strengthen dairy distribution across Texas.
Hiland Dairy has officially opened a new US$100 million production facility in Tyler, Texas, marking one of the largest recent investments in the state’s dairy processing sector. The project involved the expansion and renovation of a historic site that has operated since the late 1920s and is expected to become a key supply hub for East Texas.
The new facility is designed to dramatically increase processing capacity. Hiland said the Tyler plant will now produce more than 100 million gallons of milk annually, more than four times the output of the previous operation. The company also noted that the new equipment can process dairy products up to five times faster, allowing it to meet growing regional demand more efficiently.
(Hiland Dairy)
The investment will have a significant impact on the local economy. Hiland expects the new operation to create around 80 new jobs, while a planned administrative building will eventually house an additional 45 employees. The company spent nine years developing the project and continued operating the original facility throughout construction to avoid supply disruptions.
Hiland said the expanded plant will support distribution to schools, hospitals, businesses and retailers across East Texas, while also opening the door to further growth in neighboring markets. With an existing branch in Shreveport, Louisiana, the company believes the new facility could support expansion deeper into Louisiana and other underserved areas of the southern dairy market.
(Hiland)
The project highlights the broader trend of dairy processors investing in larger, more efficient facilities to keep pace with population growth and rising dairy consumption in the southern United States. For Hiland Dairy, the Tyler expansion positions the company to strengthen its footprint in Texas while improving logistics, fresh milk supply and long-term competitiveness.
Source: Dairy Herd report on Hiland Dairy’s new Texas facility
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