Olam International subsidiary New Zealand Farming Systems Uruguay (NZFSU) is building a new $80 million dairy plant in the country. The plant will have the initial capacity to process 600,000 liters of milk per day which will increase over time to 1 million liters per day. The plant which will be in operation in 2017 will produce whole milk powder, skim milk powder, and butter for export to Olams markets including China, Russia, the Middle East, Eastern Europe, Africa, Brazil, Paraguay, and Venezuela. Approximately $5 million of the investment cost will be allocated to buying a 94% stake in BG Industria Lactea in order to acquire the necessary land, licenses and permits for the project.
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