Wednesday, 14 December 2016 09:00

Fonterra's $240 million investment welcomed

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Fonterra’s IQF Mozzarella in action. Fonterra’s IQF Mozzarella in action.

Primary Industries Ministers Nathan Guy and Jo Goodhew have welcomed Fonterra's announcement that it will be investing $240 million to build a new mozzarella plant at its Clandeboye site in South Canterbury.

This has been driven in part by the success of the Primary Growth Partnership (PGP), they say.

"This will be the single largest foodservice investment in the history of New Zealand's dairy industry, and comes thanks to the success of the Transforming the Dairy Value Chain PGP programme," says Guy.

“This has developed world-leading technology that can produce natural individual quick frozen mozzarella in six hours, a process that traditionally took three months. This has given Fonterra the confidence to invest in a new plant, in addition to the $72 million expansion in 2013.

"This is another success story for the Primary Growth Partnership and for innovation in the primary sector.”

Associate Primary Industries Minister and MP for Rangitata, Jo Goodhew, says the investment will be a major boost for the regional economy.

“I went to school next door to the Clandeboye factory, which is now the education centre for the expanded site, so I know how important Clandeboye is to the local community,” says Goodhew.

"All of this investment and innovation is creating new jobs in South Canterbury, scaling up production and contributing to the region's economy.

"This is a prime example of the benefits that come from the government and industry working together to support research and development."

Transforming the Dairy Value Chain is a $170 million PGP programme co-funded by industry and the Ministry for Primary Industries. It is helping to create new dairy products, increase on-farm productivity, reduce environmental impacts, and improve agricultural education.

More information is available here.

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