Lactalis, a leading player in the food and beverage industry, is intensifying its production of feta cheese in the United States to address the increasing consumer demand. The French multinational has announced a substantial investment of $55 million at its manufacturing facility in Tulare, California.
The initiative involves the installation of a new 38,000-square-foot manufacturing line primarily designed to boost production of feta cheese marketed under its well-known Président brand. Lactalis indicated that this new line is already “partially operational,” and the complete project is set to be finalized by 2027. This expansion is expected to generate 100 contract positions during the construction phase, followed by 20 permanent job opportunities upon completion.
Esteve Torrens, CEO of Lactalis U.S., stated, “This expansion helps us meet the growing demand for Président feta cheese in the United States, which is good news for our retail customers and consumers who continue to choose Président feta for cooking at home and creating new occasions to enjoy feta.”
The Tulare facility is not just focused on feta production; it also manufactures a range of dairy products, including Kraft Parmesan cheese, Kraft sweet whey powder, and Knudsen Cottage Cheese and Sour Cream. This diversification highlights Lactalis’ commitment to catering to various market segments within the food and drink business.
Lactalis acquired the Tulare factory as part of a strategic deal in 2020, which involved purchasing several cheese assets from Kraft Heinz. In another notable development, the company recently announced plans to invest €3 million ($3.2 million) in one of its three manufacturing locations in Colombia.
Moreover, Lactalis made headlines in June when it revealed its decision to close a factory in Romania, a facility it had acquired during its 2016 acquisition of Covalact. Financially, Lactalis reported revenues of €29.5 billion ($32 billion) for 2023, showing a 4.3% increase in sales. The company’s revenue breakdown indicates that cheese contributed 39%, milk accounted for 19%, chilled dairy held another 19%, while butters and creams contributed 12%. Additionally, ingredients and nutritional products made up 8% of total revenues, with the remaining 7% from other product categories.
In conclusion, Lactalis’ strategic expansions and investments reflect emerging food and drink consumer trends, ultimately enhancing its position in the competitive food and beverage landscape.