Lactalis Commits $75 Million to Major Upgrades at New York Dairy Plants, Creating Over 50 Jobs

25-Jul-2025

Key Takeaways:

Lactalis USA is investing more than $75 million in facility expansions in Walton and Buffalo, New York.
Over 50 new jobs will be created, and more than 800 current positions will be retained.
The investment will increase production of sour cream, cottage cheese, ricotta, mozzarella, and provolone.
Both plants process over 800 million pounds of milk annually from 236 local farms.
New York State is providing $1.3 million in tax credits to support the expansion.

Dual Expansion to Boost Dairy Production:

Lactalis USA has unveiled plans to invest more than $75 million into its manufacturing operations in Walton and Buffalo, New York. The investment will support both capacity growth and technological upgrades, targeting key product lines under the Galbani and Breakstone’s brands. The initiative will add over 50 jobs across the two sites and ensure job security for more than 800 current employees.

The company’s Buffalo facility—already a central hub for ricotta and mozzarella under the Galbani label—will receive the lion’s share of the funding. At the same time, the historic Walton site will undergo modernization to meet increasing demand for high-protein dairy products.

Details of the Buffalo Expansion:

Located on South Park Avenue, the Buffalo facility will receive a $60 million upgrade. The project includes installing six new 50,000-pound vats, a new cheese belt, separators, silos, and a robotic palletizer. Remodeling will also move the on-site cheese lab to support streamlined operations and increased output.

As a result of these changes, mozzarella and provolone production will grow by 37 million pounds per year. Ricotta output will also rise, backed by new energy-efficient technologies. When combined with previous investments, lactalis’ total commitment to its Buffalo plant between 2020 and 2027 will reach roughly $123 million.

Walton Facility Gets a Technology Overhaul:

In Walton, the site that has been producing Breakstone’s Sour Cream since the 19th century will undergo a $15 million revamp. Upgrades include new HEPA filtration, modern fillers, lab equipment, boiler enhancements, and roofing improvements. The changes will automate key areas and raise output by 30%, particularly for sour cream and cottage cheese lines.

This portion of the project will add more than 20 jobs in Delaware County, an area classified as economically distressed, and is expected to increase efficiency and reduce maintenance burdens on legacy systems.

Government Support and Economic Impact:

The state’s backing comes through the Excelsior Jobs Program, with $750,000 earmarked for Walton and $550,000 for Buffalo. In return, lactalis has committed to both job creation and job retention benchmarks.

Empire State Development President Hope Knight emphasized the broader impact, noting that lactalis buys over $180 million worth of milk annually from New York farmers. With more than 800 million pounds of raw milk processed yearly between the two plants, the company plays a vital role in supporting the region’s agricultural economy.

Statements from Leadership:

Esteve Torrens, CEO of lactalis USA, said the expansions strengthen the company’s operations in two strategically important locations. “Our Buffalo plant is home to major Galbani production, while Walton continues a legacy dating back to 1882,” he stated.

Governor Kathy Hochul and other state officials highlighted the job and community benefits, praising the move as both a workforce investment and a win for local farmers. Commissioner Richard Ball added that the upgrade aligns with efforts to keep New York a national dairy leader.

About Author:

Kiran Thapa, Food and Beverage Market Analyst

With 3 years of experience in the food and beverage industry, Kiran Thapa specializes in analyzing market trends, supply chain dynamics, and investment opportunities in production facilities. She focuses on sustainability, packaging innovations, and manufacturing technologies that shape the future of food production and distribution, helping businesses capitalize on emerging trends.

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