Coca-Cola, the global beverage giant, has unveiled plans to invest $650 million in the establishment of a state-of-the-art manufacturing facility in Northeast New York to expand production capacity for its popular Fairlife milk brands.
The CEO of Fairlife, Tim Doelman, expressed that consumer demand for Fairlife products has reached an all-time high, necessitating increased production capacity to meet the needs of households nationwide. Groundbreaking for the new facility is scheduled to commence in Q4 2023, following necessary approvals and due diligence.
The chosen location for the facility is the Town of Webster, strategically positioned between dairy cooperatives in the Rochester and Niagara regions. This decision was made considering the availability of a skilled workforce with relevant experience in manufacturing and the food and beverage industry, making it an ideal site for Fairlife's expansion efforts.
Fairlife, initially introduced in 2012 with a focus on high-protein milkshakes for athletes, has since expanded its product line to include various value-added dairy offerings, such as milk and ice cream. The brand's innovative ultra-filtered milk production process involves removing lactose and a significant portion of sugar, resulting in higher protein and calcium content, as highlighted by Coca-Cola.
Coca-Cola CEO James Quincey emphasized that the acquisition of the remaining stake from joint venture partner Select Milk Producers in 2020 positions the company for growth in the Northeast. The proximity of the new facility to dairy farmers and its access to resources make it an excellent location to support Fairlife's next phase of expansion in the region.
Aligned with Coca-Cola's strategic approach of preparing for increased product sales, this substantial investment in the Fairlife milk brands reflects the company's commitment to building or expanding manufacturing facilities. With impressive year-to-date growth of nearly 30% and a significant number of U.S. households purchasing Fairlife products, Coca-Cola aims to meet the surging consumer demand by establishing this new state-of-the-art facility.
The dairy industry plays a vital role in New York's economy as its largest agricultural sector. The introduction of the new manufacturing facility will not only bolster the region's dairy industry but also create numerous job opportunities and drive economic growth, reinforcing the significance of this development for the state.
Photo Credit: Fairlife
Categories: New York, Business, Livestock, Dairy Cattle