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Australia  

SYNLAIT DOUBLES ITS NZ INFANT FORMULA CAPACITY

14/12/2017

(To read the rest of this edition, click here.)

The opening of Synlait Milk's new filling plant in Auckland is set to have a major beneficial effect on the entire New Zealand infant formula industry, from producers through to packagers.

Synlait this month commissioned its state-of-the-art plant in Mangere, near Auckland's international airport, with an annual capacity of 32,000 metric tonnes - doubling its total output in New Zealand.

It already operates a plant at its Dunsandel site in Canterbury.

In December, Jamestrong Packaging opened its own high-hygiene plant in Christchurch in recognition of the importance of food safety and brand protection in the infant formula space.

The Synlait expansion has been hailed by Auckland mayor Phil Goff as innovative and a boon to the development of high value business in the city's new airport commercial district.

It is expected to create more than 100 jobs in the region according to Mayor Goff.

Synlait's managing director and CEO John Penno said demand for packaged consumer products would increase significantly in the "near term."

The expansion has been driven by demand for infant formula products, especially in China.

Synlait acquired the New Zealand Dairy Company and its partially completed plant mid-year and completed it at a total cost of $55 million.

In light of the requirement for guaranteed supply, the new plant removed the risk that existed with having only one site in New Zealand, Mr Penno said.

The second site would enable Synlait to increase the number of customer brands it could export to China.

The new plant is currently being registered with China's Ministry for Primary Industries and CNCA (Certification and Accreditation Administration of the People's Republic of China).

"We have conditional approval from MPI and we expect to finalise this along with other registration requirements very soon," said Mr Penno.

Synlait was formed in 2000. It is registered on the New Zealand and Australian Stock Exchanges. One of its key products is a2 Infant Formula.

(To read the rest of this edition, click here.)

 
 
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