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Lactalis USA Invests Over $75 Million in New York Expansion

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Modern dairy production facility with advanced technologies

News Summary

Governor Kathy Hochul announces Lactalis USA’s $75 million investment to expand their Buffalo and Walton facilities. The investment aims to enhance production capabilities and support local jobs, totaling $123 million since 2020. With plans to modernize equipment and increase cheese production, this initiative emphasizes Lactalis’s commitment to the dairy industry in New York and local farmers.

New York Governor Kathy Hochul has announced a significant investment by Lactalis USA totaling over $75 million, aimed at expanding the company’s facilities in Buffalo and Walton. This investment marks an extension of Lactalis’s commitment to growth in the state, bringing their total investment in New York to $123 million since 2020.

The Buffalo facility, located at 2375 South Park Avenue, will receive $60 million of this investment. Planned upgrades to the plant include the installation of six 50,000-pound vats, advanced cheese belts and separators, new silos, and a robotic palletizer. These enhancements are intended to significantly boost production capabilities at the plant, increasing mozzarella and provolone cheese production by 37 million pounds annually, along with expanding ricotta production. This expansion is poised to retain over 800 full-time jobs and create an additional 50 new jobs.

This announcement comes on the last day of National Dairy Month, June 30, a fitting occasion to highlight Lactalis’s investment in the dairy sector. The investment plan includes approximately $15 million earmarked for modernization of the Walton plant, which is primarily dedicated to producing Breakstone’s Sour Cream and Cottage Cheese.

Support from Empire State Development

The Empire State Development agency has contributed to this investment by providing $750,000 in Excelsior Jobs Program tax credits for the Walton plant and $550,000 in tax credits for the Buffalo plant. These incentives are aimed at promoting job creation and improving the overall efficiency of dairy production in the state.

Lactalis’s Commitment to Local Farmers

Lactalis operates two facilities in New York—Buffalo and Walton—and supports the processing of 800 million pounds of raw milk annually sourced from over 200 local dairy farmers. The continued investment indicates a strong commitment to local agriculture and the overall dairy production industry in New York.

Technological Innovations and Facility History

Alongside the infrastructure upgrades, the expansion will introduce more energy-efficient technologies, reflecting Lactalis’s focus on sustainability and innovation in food processing. The Buffalo plant has a rich history dating back to the 1970s, having undergone several upgrades, most notably a $45 million project in earlier years to enhance production capabilities. The current investments will add more than 30% capacity in the plant by modernizing existing manufacturing areas and addressing infrastructure needs.

Research and Development Initiatives

In addition to the current expansion projects, Lactalis previously invested $2 million to open a culinary and sensory institute adjacent to the Buffalo facility. This institute is focused on product research and development, further strengthening the company’s position in the competitive dairy industry.

As the world’s largest dairy company, Lactalis USA is well-known for producing well-regarded products such as Galbani Ricotta, Mozzarella, and Provolone cheese, with distribution extending across the U.S. and international markets. The ongoing commitment to investment and community development by Lactalis demonstrates the company’s dedication to enhancing the dairy industry in New York and supporting local jobs.

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