Bakers prefer butter, helping prices soar
Consumers around the world are willing to pay more for products containing dairy and this is driving demand for butter and cream, says Fonterra.
Work is complete on a new mozzarella plant at Fonterra's Clandeboye site, doubling production of the cheese and creating enough mozzarella to top more than 300 million pizzas a year.
The mozzarella is destined for global pizza and pasta restaurant chains across China, Asia and the Middle East.
Fonterra managing director of global operations Robert Spurway says the cooperative has seen growth in consumer and foodservice categories and this expansion will form a key part of that success in the future.
"The expansion at Clandeboye is a great example of our V3 strategy in action," says Spurway.
"Foodservice products such as cheese give a high value on return and, thanks to our strength in research and development, we're able to cut months off the production time of this mozzarella to deliver on our velocity proposition. The additional capacity will bring volume to that equation."
The expansion is part of Fonterra's wider strategy to build on strength in foodservice, along with the doubling of cream cheese production at Te Rapa, the recent commissioning of the Waitoa UHT site and plans to expand slice-on-slice cheese capacity at Eltham.
Clandeboye site manager Steve McKnight says the site will operate 24-hours, with farmers supplying winter milk to help meet global demand for individual quick frozen grated mozzarella.
"We're seeing the popularity of cheese really take off in Asia, so the timing of this upgrade couldn't be better," says McKnight.
Fonterra's premium performance mozzarella is world-renowned for its outstanding stretch, excellent melt and very characteristic 'New Zealand' buttery flavour, he says.
The site expansion has brought 25 new roles. Staff have finished training and are now working in the new mozzarella plant.
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