Yili announces opening of stage two development at Glenavy dairy plant, more jobs to come
25 March 2017
Global dairy giant Yili Group today announces the opening of its stage two development of its state-of-the-art Oceania
Dairy production plant at Glenavy, South Canterbury.
The investment in Yili Oceania Dairy, including a new Ultra High Temperature (UHT) plant, infant formula canning line,
blending facilities, a whole milk powder dryer, and facilities to manufacture UHT milk products and lactoferrin, takes
total investment in Oceania to more than $600 million.
The completion of the stage two development will provide a significant economic boost to the South Canterbury region,
including for farmers and milk suppliers. Yili is developing a set-price mechanism for the price of milk whereby the
milk price is guaranteed to improve year-on-year cash flow management for farmers.
The company is actively working with farmers in the district to augment its milk supply to meet its growing production
needs. Presently, there are 67 farmers who supply milk to Oceania Dairy.
Yili Oceania Dairy is also launching a major recruitment drive having boosted employment at the plant during stage two
development. Currently more than 90% of the existing staff are local residents. The company is committed to employing
all workshop operators, laboratory staff, warehouse managers and administrative staff from the local community following
stage two completion.
It is also plans to work with regional economic development agencies to promote local economic development.
For its China market, Yili Group also today announced it is launching a new premium PRO-KIDO Ruihu infant formula.
Yili Group Chairman, Mr Pan Gang, said his company was fully committed to New Zealand, as evidenced by the significant
and ongoing investment in Glenavy.
Yili has also signed a memorandum of understanding with Lincoln University and Oceania Dairy’s research and development
manager Dr Philip Wescombe is now based at the university to assist in the establishment of a new research and
development centre.
“We consider Lincoln to be one of the finest agricultural tertiary providers in the world and we think this joint
venture will generate innovation to the benefit of not only Yili group but the wider New Zealand dairy sector,” Mr Pan
said.
Dairy trade is an important part of the economic partnership between China and New Zealand. In 2014, Chinese President
Xi Jinping and NZ Prime Minister John Key opened the Yili Oceania Dairy production plant and stage one investment was
completed the same year.
ENDS