Making the call to invest in the future can be a scary proposition for many F&B manufacturers given the uncertain economic climate the past few years. It might be especially so for producers of dairy products given the incredibly tight on farm margins. But California Dairies, Inc. (CDI), owners of Valley Natural Beverages, decided not to give in to those fears and instead set out on another path. CDI gave the green light to construct one of the most advanced dairy facilities in the U.S., underscoring its strategy to diversify beyond butter and milk powder and include premium dairy beverages for the more than 250 California farmers who own the cooperative and make up its membership.
Built from the ground up on a 47-acre greenfield site in Bakersfield, Calif., the plant is the cooperative’s first greenfield project. Opened earlier this year, the Valley Natural Beverages (VNB) plant is CDI’s first facility dedicated to fluid milk and value-add liquid products.
“This project really captures what we stand for as a co-op,” says Troy Hancock, Site Director for CDI Bakersfield. “Everything here is designed to add value for our member-owners. By processing more milk into fluid and extended shelf-life (ESL) products, we’re giving them access to a broader market and strengthening the California dairy market overall.”
“Historically, most of CDI’s processing went into butter and powder,” Hancock explains. “But the way milk is priced, our farmers make the most when it’s used in fluid milk. So, this facility was built to help them achieve that.”…