Fonterra Brands New Zealand said an $8 million upgrade of its Ultra Heat Treated (UHT) milk processing plant in Takanini, Auckland provides a 30 per cent increase in capacity.
With the expansion annual production will rise to 90 million litres, up from 5 million when the company began making UHT
milk in 1981.
The plant will produce an additional 600,000 packs of UHT milk every week.
Global consumption of UHT is expected to grow at a compound annual rate of 5.2 per cent between now and 2012, making it one of the fastest growing dairy categories.
"With this increased production capacity, we will be able to expand our presence in our existing markets of China, Singapore and Hong Kong as well as start exporting into new markets such as Malaysia, Indonesia and Vietnam," said Fonterra Brands New Zealand managing director, Peter McClure.
UHT does not need refrigeration and it has a nine-month shelf life.
- NZPA
