Lactalis, the prominent French dairy enterprise, plans to expand its operations in Brazil’s Minas Gerais state with a substantial investment of 250 million reais (approximately $41.7 million). This initiative aims to modernize, expand, and optimize its seven industrial facilities in the region, as confirmed by a local government statement.
The investment is set to be distributed over the next three years, culminating in a total expenditure of 736 million reais by Lactalis in Minas Gerais since 2020. The company currently operates factories in several locations, including Antônio Carlos, Guanhães, Pará de Minas, Pouso Alto, Sabará, Sete Lagoas, and Uberlândia. Additionally, Lactalis oversees logistics units in Contagem and an administrative office based in Belo Horizonte.
Currently, Lactalis supports 3,654 direct jobs in the state, with aspirations to increase this number by 2025. The move aligns with the growing trends in the food and beverage industry, reflecting a commitment to enhancing local production capabilities.
Notably, Lactalis sources nearly all of its milk through a long-term partnership with the Central Cooperative of Rural Producers. This collaborative relationship not only boosts local milk production but also fortifies the livelihoods of local farmers by enhancing productivity and improving quality, as stated by the government. Furthermore, Lactalis is in discussions to formalize its investments and adjust tax agreements through a new “protocol of intent.”
Support for Lactalis’ investment endeavors comes from the local government, including Sede-MG and Invest Minas, which plays a crucial role in promoting economic growth in the region. João Paulo Braga, CEO of Invest Minas, emphasized, “Since 2020, the group has driven the modernization of its units, consolidating the state as a hub in dairy production. This new investment reinforces the industrial capacity of Minas, while promoting technological innovation and sustainability in the sector.”
Earlier this year, Lactalis announced a 100 million reais investment across its five factories in Rio Grande do Sul, signaling its commitment to enhancing capacity in the Brazilian market. Since 2015, the company has invested a total of 452 million reais to expand its operations in this region.
Lactalis, founded in 1933 and headquartered in Laval, France, boasts a diverse range of products under well-known brands such as Batavo, Président, and Elegê. Recently, the company reported plans to increase its feta cheese production in the United States to meet rising consumer demand, which underscores its adaptability to shifting food and drink consumer trends.
