[9 April/NZ Farmer]

Synlait Milk secured a multi-year supply agreement that will underwrite an $18 million investment to double lactoferrin manufacturing capacity at its Dunsandel plant. The agreement was with a confidential customer. The Dunsandel expansion is expected to be completed by October. Synlait Managing Director and Executive Officer, John Penno, said lactoferrin was a high-value speciality ingredient used in a range of nutritional food products worldwide. He added that they were deliberately building their lactoferrin business with stable, long-term growth in mind. Mr Penno noted the investment decision was underpinned by a strengthening global market, growing demand for the company’s infant formula manufacture. Synlait Group Category Manager, Dr Elizabeth Reid, said Synlait was one of the few producers that offered reliable access to large quantities of infant grade lactoferrin,