FrieslandCampina will invest over €90 million over the next three years to modernize the production sites in Bedum, Veghel, and Workum. High-quality whey proteins, among other products, are produced at these locations, for which demand is strongly increasing. Learn more about the investment plans and market developments here.
The investment is being made by FrieslandCampina Ingredients, the business division that has been a true cash cow for the dairy cooperative in recent years and made a major contribution to overall profitability.
In addition to modernization, FrieslandCampina also wants to scale up production, without the dairy cooperative specifying concrete volumes. However, a spokesperson says that it involves a 'substantial scaling up' of the production apparatus.
FrieslandCampina identifies strong demand for whey proteins for sports nutrition, lifestyle nutrition, and specialized medical applications. As a major player in cheese, FrieslandCampina automatically produces a large amount of whey as well. The dairy cooperative aims to be able to process all liquid whey in-house in the future.
High prices
Whey protein prices have recently skyrocketed. The price of regular whey powder food has risen to over €1.700 per ton, the highest level to date. Since the turn of the year, prices have increased by more than 50%. Highly concentrated products, such as whey protein concentrates with approximately 90% protein, have risen to around €20.000 per ton in a year, according to data from DCA Market Intelligence.
The goal is to scale up the production of advanced protein products, such as WPC80, instant whey protein, and FrieslandCampina's specialty product Nutri Whey™ ProHeat, a microparticulated whey. These ingredients are used by food manufacturers in protein-rich drinks, bars, and yogurt, among other products. Anne Peter Lindeboom, President of FrieslandCampina Ingredients, stated in a press release: "Global demand for advanced protein solutions is increasing rapidly. With this program, we are taking the next step to become a leader in high-quality proteins."
FrieslandCampina has been investing heavily in its protein portfolio in recent years. The expansion of the whey production site in Workum was already announced at the end of 2024, involving an investment of €30 million. The newly announced investment is in addition to this. Furthermore, last year FrieslandCampina acquired Wisconsin Whey Protein in the United States, a producer of high-quality proteins.