Olam Food Ingredients (OFI) plans to develop a new dairy processing facility in New Zealand. The facility will produce high-quality dairy ingredients and support innovation capability.
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OFI has 14 innovation centers worldwide, where the company’s R&D teams co-create new tastes and textures with OFI’s expanded range of dairy ingredients.

The first stage of the investment development, expected to be commissioned in Q3 of 2023, is in time for New Zealand’s peak season and will involve constructing a spray dryer facility, capable of producing high-value dairy ingredients.

Olam’s dairy development

The plant will be located in the North Island town of Tokoroa and will become part of a global network that spans 20 major milk consumption markets, such as South-East Asia, China, the Middle East, and Africa.

Additional facilities at Tokoroa will be added over time to expand the range of high-value ingredient products manufactured at the site, targeting key customer applications in dessert, bakery, beverage, and confectionery categories.

“This facility will complement and enhance our ability to support our global customers and meet growing consumer demand for products that are natural, nutritious and delicious. It will also help address their innovation, traceability, and sustainable sourcing requirements as New Zealand’s farming standards and high-quality milk are very well regarded,” says Naval Sabri, senior vice president at OFI Dairy.

“Further, the Tokoroa dairy ingredients will form part of OFI’s much wider natural ingredients portfolio, which includes cocoa, coffee, nuts and spices, ideal combinations with dairy for customized products such as yogurts, protein bars and ready-to-drink tea, coffee and cocoa beverages,” he adds.

Ties with New Zealand
OFI has 14 innovation centers worldwide, where the company’s R&D teams co-create new tastes and textures with OFI’s expanded range of dairy ingredients.

OFI’s new processing plant investment follows ten years as an investor in the New Zealand dairy sector.

“We are pleased to now be deepening our relationship with the industry. By developing our own plant at Tokoroa, we are opening up more supply options for farmers in South Waikato and employment opportunities in the community,” Sabri continues.

The new facility, which will source milk from farms in New Zealand’s dairy heartland of the Waikato, is expected to create 50 to 60 full-time jobs when fully operational.

Sabri underlines New Zealand’s worldwide reputation for quality and sustainability.

“At OFI, we aim to source, process and deliver our products and ingredients in a way that is right for the planet and the people who produce them. By working together with farmers and customers, we can make a positive impact and realize joint sustainability ambitions,” he concludes.

Regional small, organic dairy farm industry had been rocked by Horizon Organic nonrenewal.

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