New Zealand dairy co-operative Westland Milk Products will build a new $40m ultra-high-temperature (UHT) treated long life milk plant at Rolleston manufacturing center.
The proposed investment is said to be the company's first venture into retail-ready milk, stuff.co.nz reported.
Additionally, the company had secured board approval for a $102m milk dryer at Hokitika, which is expected to become operational in August 2015.
Westland Milk Products chairman Matt O'Regan was quoted by the publication as saying: "I am confident this strategic direction will generate the competitive returns our shareholders are asking us to achieve."
The company generated $830m in group revenues during 2013-14 financial year, up 46% when compared to the previous year.
The growth in revenues was driven by increased milk volumes from shareholders, up 21% to 753 million liters.
"We have informed shareholders of the main reasons that led to a less than competitive payout for 2013-14, and assured [them] that our entire focus is on improving that performance considerably," added O'Regan.
