Fonterra to Increase Powdered Milk Production

Fonterra Cooperative Group is investing nearly NZ$100m ($70.3m) to build a new powdered milk plant near Darfield in Canterbury by September 2012.

The dairy exporter in New Zealand said it expects the proposed facility to process 2.2 million litres (583,709gal) of milk a day.

The plant, which can produce 27 metric tons of milk powder an hour, would require supply from about 200 farms, the diary giant said.

In September, the company opened a NZ$212m ($148m) powdered milk plant at Edendale.

Fonterra annually sells about NZ$17bn ($11.9bn) of milk, butter and cheese in 140 countries, accounting for about 40% of the global trade in dairy products.