Investment to boost export capacity, product innovation and sustainability at Co Derry site.
Lakeland Dairies is investing £24.5 million in its dairy processing facility at Ballyrashane, Co Derry, in a move aimed at strengthening export growth, increasing capacity and advancing sustainability across its operations.
The co-operative, which is the largest dairy processor on the island of Ireland, said the investment will fund significant upgrades to its liquid milk packing and butter production facilities.
“This significant investment in our Ballyrashane site reflects our commitment to the future and our ambition to grow in both domestic and international markets”
The programme is also set to support new product development to meet growing international demand.
Regional spirit
Northern Ireland Economy Minister Dr Caoimhe Archibald welcomed the announcement, highlighting its regional and sectoral importance.
“Lakeland Dairies has been an important part of our food and drink industry in the north for many years. This significant investment demonstrates the company’s ongoing commitment to its business in the Causeway Coast and Glens area,” she said.
“It supports the continued development of the agri-food sector, strengthens export capability and includes important investment in sustainability. It will also help improve productivity within the business and contribute to better regional balance by supporting growth and opportunity in this area, all of which align strongly with my economic priorities.”
The Ballyrashane site plays a key role in Lakeland’s European supply chain, producing both retail butter for supermarket brands and specialist products for bakery manufacturers. The planned upgrade is expected to enhance efficiency and expand output, particularly in export-focused categories.
Colin Kelly, chief executive of Lakeland Dairies, said the investment reflects the co-operative’s long-term growth ambitions. “This significant investment in our Ballyrashane site reflects our commitment to the future and our ambition to grow in both domestic and international markets,” he said.
“The programme will expand capacity in liquid milk packing and butter production, and will support new product development, allowing us to meet growing demand in export markets. The project will also deliver wider environmental benefits, further enhancing the site’s energy sustainability performance.”
Support for the project includes a £2.5 million contribution from Invest Northern Ireland through its Agri-Food Investment Initiative. The agency has worked with Lakeland Dairies for more than a decade and sees the project as a strong example of innovation-driven growth.
Kieran Donoghue, chief executive of Invest NI, said the investment aligns with broader efforts to improve productivity and competitiveness in the region’s agri-food sector. “We’ve been working with the company for over a decade, and we are very pleased to support the company to undertake this investment,” he said.
“The AFII scheme has enabled several businesses like this to deliver major efficiency projects, boosting output and driving cutting-edge innovation across the region. This project stands out for its innovation and productivity, opening up global growth opportunities for the company by developing new high-value products.”
Lakeland Dairies operates across 17 counties on a cross-border basis, processing more than 2 billion litres of milk annually supplied by over 3,200 farm families. Its portfolio includes more than 240 products exported to 120 countries worldwide.
Image at top: Sean Connolly, Director, Lakeland Dairies; Grainne Moody, Director, Food and Drink Invest NI; Kieran Donoghue, CEO, Invest NI; Minister Caoimhe Archibald; Colin Kelly and Aeidin McCarter, Invest NI; and Keith Agnew, Vice Chairperson Lakeland Dairies
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