Arla invests €38m in new whey protein hydrolysates factory

European food processor Arla Foods Ingredients has invested €38m in setting up a new factory in Denmark to meet the increase in demand for whey protein hydrolysates.

The factory will be built next to Arla’s existing whey protein facility in Videbæk, Denmark. The company is also building a new lactose factory at the same location.

The whey protein factory is scheduled to start operations from the end of 2016.

The new factory will help the company to triple its capacity of producing whey protein hydrolysates.

Arla Foods Ingredients CEO Henrik Andersen said: "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.

"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 company’s product portfolio includes functional and nutritional whey proteins, milk minerals, lactose and permeate. It produces all of its ingredients at its plant in Denmark, or at one of its joint ventures in Argentina, Germany and the UK.

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Image: Arla’s Videbæk factory. Photo: courtesy of Arla Foods Ingredients.