Campina Investing in Whey Processing and Food Ingredient Operations

ZALTBOMMEL, The Netherlands, February 18 /PRNewswire/ -- In line with the growth strategy of Campina, one of Europe's leading dairy companies, its industrial ingredients division, DMV International, is investing EUR 57 million into its whey processing and food ingredient facilities in Veghel, The Netherlands. The major part of the investment lies within the upgraded processing of whey, resulting in new and unique whey based ingredients for the world-wide food and nutrition markets. The project `Veghel Force' is the division's largest investment ever and will enable DMV International to capitalise on market opportunities.

The investment project will deliver the first lots of commercial product during the third quarter of 2006. The full project is planned to be finalised by December 31, 2006. Veghel Force will secure high technology level employment within DMV International for now and the future.

The market for whey derivatives is very promising with annual growth rates of approximately 10 per cent. DMV International has developed and will produce in its new facilities specific whey derived ingredients for both the food and nutrition industries world-wide.

As a result of re-structuring operations, the facilities operating for DMV International in Uitgeest - The Netherlands will be closed. Including this and the investment project in the plant in Veghel - The Netherlands, a total of 36 jobs of DMV staff will be affected. Efforts will be made to find solutions within Campina for those employees.

Next step of implementing strategy

"This is a major boost for our whey processing operation enabling us to produce a product portfolio that fits market opportunities. The investment is in conformance with our strategy, in which we give priority to a market and innovation driven approach on the one hand and a focus on efficiency in operations on the other hand", says Alexander R. Wessels, Managing Director of DMV International. In addition to a highly efficient whey processing plant, a flexible processing unit will be opened for the manufacture of value added food ingredients.

New facilities and technology for new products

"Taking into account that rules and regulations on food safety and hygiene will be getting even stricter in the near future, an investment proposal was made to upgrade our whey processing plant and build a new flexible processing unit for our compounded food ingredients", according to Kris Moortgat, Director Operations of DMV International. "We at DMV see this truly as an `Ingredient of success'." The new plant will be highly automated and will be the most efficient and largest whey processing plant in Europe.

Campina has informed the employees, the Central Workers Council and trade organisations of the investment project.

Campina is an international co-operative engaged in the development, production, sale and distribution of dairy and dairy-based consumer products and high-grade ingredients for the food and pharmaceutical industries. Campina employs around 6,900 people and generates annual turnover of approximately EUR 3.7 billion. The company occupies top positions in the markets in which it operates with such consumer brands as Campina, Landliebe and Mona. In addition, Campina operates worldwide with its Industrial Products Group. This ingredients group, including the DMV International Division, is a successful partner for the food and pharmaceutical industry.

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