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Arla, the European farmer-owned dairy cooperative, has committed to investing nearly €6 million ($7.4 million) to significantly boost cottage cheese capacity at its Falkenberg site in Sweden.
The investment, which is reportedly driven by record demand for high-protein, low-fat products such as quark and cottage cheese, aims to increase the annual output of its popular Keso brand by approximately 1,500 tonnes. The company stated that the target for 2025 is to reach 27,000 tonnes, which would represent a 17% rise over the previous year’s production.
The project, focusing on upgrading existing equipment, including filtration, cooling, and water technologies, is set to begin early next year and is expected to be fully operational by the fourth quarter of 2026.
Christian Svensson, site director at Arla Falkenberg, stated: “We have broken records two years in a row, and this investment comes at exactly the right time. It helps us keep pace with consumers’ increasing interest while also providing a stable and profitable outlet for the mil1k from Arla’s farmers”.
This latest capacity expansion follows a previous strategy of targeted investments in high-growth categories, including a €59.4 million ($70 million) commitment last year to increase cream cheese production in Denmark.
Source: Just Food
