Lactalis is investing €3 million to upgrade its Medellín dairy facility in Colombia, focusing on automation, capacity expansion, and environmental improvements. This investment is part of a larger €4 million project for 2024, aimed at modernizing operations and enhancing product quality.
Lactalis, the France-based dairy giant, has revealed plans to invest €3 million ($3.2 million) in upgrading its manufacturing facility in Medellín, Colombia. This investment is part of a broader €4 million initiative in Colombia for 2024, aimed at modernizing and enhancing the company’s operations in the region.
Investment Focus
The Medellín plant, which produces UHT milk, cream, and dairy desserts, will see significant upgrades under this investment plan. Key areas of focus include:
- Capacity Expansion: Enhancing the facility’s ability to store UHT milk.
- Automation: Upgrading to automated machinery for pasteurized dairy products.
- Modernization: Revamping disinfection and sterilisation lines.
- Environmental Improvements: Transitioning heating systems from carbon-emitting boilers to gas-based systems.
These upgrades are designed to align the Medellín plant with Lactalis’ European standards, improving efficiency and product quality.
Broader Investment Plans
This €3 million investment in Medellín is part of a larger €4 million project Lactalis is undertaking in Colombia this year. Additionally, Lactalis plans to invest €5 million annually across its Colombian facilities. These investments reflect the company’s commitment to expanding its operations and improving its product offerings in the region.
Operations in Colombia
Lactalis operates three facilities in Colombia:
- Medellín: Produces UHT milk, cream, and dairy desserts.
- Cerate, Córdoba: Focuses on powdered milk production.
- Chia, Cundinamarca: Handles chilled dairy products, fresh and powdered milk, and cream.
The company markets various brands in Colombia, including Parmalat, Proleche, Zymil, and private labels. President and Kraft brands are also imported into the country.
Financial Performance and Future Goals
Lactalis Colombia reported a turnover of 600 billion pesos ($148.7 million) last year and aims for an 8% increase in revenue this year. The company has committed to investing around €4 million annually in Colombia since 2021, totaling approximately €64 million to date. This ongoing investment supports the company’s goal of achieving European standards of machinery, quality, and training.
Lactalis’ strategic investment plan envisions injecting approximately €5 million each year into its Colombian operations, underlining the company’s long-term commitment to the region.
Lactalis’ significant investment in its Medellín facility underscores the company’s dedication to enhancing its production capabilities and environmental sustainability in Colombia. By upgrading its infrastructure and expanding its operations, Lactalis aims to strengthen its market position and deliver higher-quality dairy products to consumers.
