Coca Cola invests US$66 million to build a new dairy factory - Fairlife Milk
Coca-Cola plans to invest 85 million Canadian dollars (or 66 million US dollars) in Ontario, Canada to build a new dairy factory to produce Fairlife brand beverages. The Fairlife product line will be introduced to Canada at the end of 2018, so Canada will be Fairlife’s first international market. Coca-Cola said that the new factory will support the development of the brand in Canada.
The new production facility locates in Peterborough, Ontario. The facility will provide new production capacity for a lactose-free milk containing nine essential nutrients, with 50% more protein and 50% less sugar than conventional milk. The Coca-Cola Company worked closely with the Dairy Farmers of Ontario to make Canada the first international consumer market for the product.
"We will push new products throughout Canada," said Tim Doelman, chief operating officer of the company. “We believe that Canadians will also like it. As more and more people become loyal fans of our nutritional milk, we will continue to strive to improve the quality and taste of fresh milk.”
Expected to be introduced to the market in the first quarter of 2020 are 1.5L polyester resin bottled, 2% white milk, 2% chocolate milk and 3.25% full-fat white milk; 240mL polyester resin bottle, 2% white milk and 2% chocolate milk.
"Production of milk is an important step for us to become a comprehensive beverage company. We are constantly listening to consumers and are developing strategies and tactics," said Shane Grant, president of Canada Business Unit of The Coca-Cola Company. “In the past 18 months, we have launched unprecedented new products in the Canadian market, including smaller packages and new brands such as Gold Peak, smartwater sparkling, Glaceau fruitwater, Vitamin E active beverages, Peace Tea and Powerade Zero. Adding a lower sugar but more nutritious milk to the mix means we can provide Canadians with more products they are looking for. "
Local dairy farmers in Ontario will provide milk to the factory to ensure quality. The new plant will also create 35 jobs, including the development and construction of facilities, as well as various positions needed to support daily operations.
“The dairy farmers in Ontario are looking forward to full cooperation with Canada’s Coca-Cola,” said Graham Lloyd, Ontario dairy farmers association, and chief executive officer. “Canadian consumers give much emphasis on high-quality milk and animal care standards in Ontario and throughout Canada, which is why Canada is the ideal market for this high-quality milk. She will contribute to the continued development of the Canadian economy.”
Lawrence MacAulay, Minister of Agriculture, Agriculture and Food of Canada said: “Canada's agricultural and agri-food industries generate more than 100 billion Canadian dollars of GDP, employ more Canadians than any other manufacturing industry in the country. “This is located in Peterborough. The new plant will help Ontario and the nation create job opportunities, encourage innovation and foster new market opportunities - to explore the potential of Canada's agricultural and food industries. ”
"I agree with Coca-Cola's investment project," says Maryam Monsef, parliamentarian of Peterborough-Cavasa. "To this end, it will add 35 new high-paying positions and continue to retain the original 100 jobs at the Minute Maid Plant in Peterborough."
According to the Dairy Farmers of Ontario, this proves that the Canadian government should defend its milk supply management system.
When the Prime Minister, Trudeau, accepted the NBC "Meet The Press," he said that when renegotiating the North American Free Trade Agreement (NAFTA), Canada added doubts to allow More US dairy products enter the domestic market. His speech caused anxiety in the domestic dairy industry.
The chairman of the Ontario Dairy Farmers Association, Graham Lloyd, said in an interview with Agence France-Presse on Tuesday that the government continues to support the dairy system and that the new Coca-Cola plan shows that they should do so.
He refers to Canada's milk supply management system, which attracts global companies to invest in Canada. However, he reiterated that any plan that can expand the dairy market, increase the output of dairy products, and stimulate consumption is encouraging. The association also strongly supports this opportunity.
Coca-Cola declined to comment on Canada's milk management system but indicated that tariffs are a barrier to the entry of Fairlife ultrafiltered milk from the United States. Fran Mulhern, Coca-Cola’s vice president and general manager of the company's “farm to table business” business, said the company would like to see the goods sold in the production area.
Coca-Cola plans to build a new dairy plant next to a 70-year-old Minute Maid juice plant in Peterborough, Ontario, and produce lactose-free lactose-containing higher protein and lower sugar than traditional milk. Milk (lactose-free milk). It is expected that the factory will begin operations in the first quarter of 2020 and will create 35 new jobs and support the current 100 positions in the Orange Fruit Factory. The milk for the facility will be supplied by local dairy farmers in Ontario.
The Canadian Coca-Cola Company now has more than 50 facilities nationwide, including six production facilities, employing 6,200 employees. It is reported that lactose-free milk is a patented frozen filtration process that removes lactose and sugar from milk. The last remaining ingredients are 50% more protein and 50% less sugar than traditional milk.