Arla Foods Ingredients Expands Production at Argentine Plant

With an annual capacity of 25,000 tonnes, the tower creates a new opportunity to convert the permeate left over from whey protein concentrate production into a non-hygroscopic ingredient for bakery, confectionery and dairy products.

26 Apr 2010 --- President of Argentina Cristina Fernández de Kirchner was among the prominent guests at the inauguration of the second spray-drying tower at the Arla Foods Ingredients S. A. whey processing plant on 23 April.

Ongoing business growth in South America has prompted the USD 35 million investment. With an annual capacity of 25,000 tonnes, the tower creates a new opportunity to convert the permeate left over from whey protein concentrate production into a non-hygroscopic ingredient for bakery, confectionery and dairy products.

“Permeate has a lactose content of 90%, making it a cost-effective alternative to lactose in food products,” says Bjarne Schack Pedersen, managing director of Arla Foods Ingredients S. A.

The plant, located 600km northeast of Buenos Aires, is the first in South America to produce permeate of such high quality.

In addition to permeate, the new tower will process functional milk proteins for use in food applications such as ice cream and chocolate.

10th anniversary
The inauguration of Tower II coincides with the 10th anniversary of Arla Foods Ingredients’ joint venture with the Argentine dairy cooperative SanCor, the primary supplier of whey to the plant.

Following the joint venture’s initial USD 60 million investment, the whey processing plant went into operation in 2002 – the first to produce functional milk proteins in the region. On that occasion, Argentina’s former president, Eduardo Duhalde attended the inauguration ceremony.

“We have become very good at marketing our ability to produce solutions for the South American market. Business has grown every year,” Pedersen says.”

Joining President Kirchner were the governors of the Santa Fe and Cordoba provinces that have given SanCor its name, Denmark’s ambassador in Argentina and several hundred other guests. Top members of Arla management also attended.