Arla Foods Ingredients has revealed plans to invest €120 million in a new lactose manufacturing facility in Denmark.

The plant will be established next to Arla Foods Ingredients’ existing main protein factory in Jutland, and will have an annual capacity of 85,000t of lactose.

Construction is scheduled to be complete by October 2014, and the plant will be fully operational in 2016. The new factory will be designed to satisfy the growing demand for lactose in the infant formula industry, while adhering to strict quality standards.

Henrik Andersen, CEO of Arla Foods Ingredients, said: "This investment sends a strong signal to the whey ingredients market that we remain committed to supplying high-quality products to the global nutrition and food industry. We have had a very constructive dialogue with a number of leading customers regarding their future demands for lactose quality, and our new plant will deliver on these demands."

In addition, Arla Foods Ingredients has recently launched a protein solution that enables yoghurt manufacturers to produce Greek-style yoghurts on their existing plant for the first time – with reduced levels of wastage.