F&N Dairies commissions new plant in Malaysia

F&N Dairies, the dairy subsidiary of Malaysia-based Fraser & Neave, has begun commissioning works at its MYR350m ($110.78m) greenfield dairy plant in Pulau Indah, Malaysia.

The plant, which will replace the company’s existing dairy facility in Petaling Jaya, features four lines with an initial production capacity of 14 million cases of canned milk a year once it goes on stream in early 2012.

In addition to milk, the facility will also manufacture and supply a broad range of other dairy products.

F&N Dairies division CEO Tony Lee said the new plant has adequate provision for future expansion in reserve to propel the company’s growth in the food and beverage sector.

Over the last five years, the company has invested MYR600m ($189.91m) in its dairy manufacturing business in both Malaysia and Thailand.

In Malaysia, F&N Dairies manufactures sweetened condensed milk, milk and dairy products, pasteurised juices and ice cream, and holds 60% and 80% market share in the sweetened condensed milk and evaporated milk segments, respectively.