Glanbia plc, Ireland, is working with Dairy Farmers of America Inc. (DFA), Kansas City, Mo., Michigan Milk Producers Association (MMPA), Novi, Mich., and Foremost Farms USA, Baraboo, Wis., to create a stand-alone joint venture to build and operate a new cheese and whey production facility in Michigan.
Upon completion, the plant is projected to process 3.6 million liters of milk a day.
It is proposed that 50% of the joint venture will be owned by Glanbia and the 50% balance will be owned by DFA, MMPA and Foremost Farms.
As part of the proposed joint venture DFA, MMPA and Foremost Farms will supply all milk required by the plant while Glanbia will retain full responsibility for all commercial, technical and operational aspects of the business. If the project proceeds as planned, commissioning of the new facility is expected to take place in the second half of 2019.
"Glanbia is delighted to announce this exciting proposed project in the state of Michigan with DFA, Michigan Milk Producers Association and Foremost Farms,” says Brian Phelan, chief executive officer of Glanbia Nutritionals. “Consistent with Glanbia's growth strategy, this proposed venture will build on our position as the No. 1 producer of American-style cheddar cheese and simultaneously expand our global position as a supplier of advanced technology whey protein to the nutritional sector. This proposed joint venture is a strategic move by all the partners to benefit from the growing, large scale milk pool in the state of Michigan."