Gay Lea Foods Co-operative Limited says it will invest more than $200 million to expand its Clayson Road dairy manufacturing facility in Toronto, with the project expected to increase cottage cheese production and add up to 75 jobs.
The expansion is the first major milestone in the dairy co-operative’s approximately $450-million Network for Growth strategy, a multi-year plan to invest in and modernize its Canadian manufacturing network.
The company said the project is intended in part to address a national shortage of cottage cheese while adding production capacity across its portfolio of high-protein dairy products.
The expansion is scheduled to be completed in 2028.
Investment in production capacity
The company said the project will introduce advanced processing technology and modern manufacturing capabilities aimed at increasing production capacity, improving productivity and giving the facility greater operational flexibility.
It said the investment will also support its farmer members and employees as it expands its processing capabilities.
“This investment reflects our confidence in the future of Canadian dairy and in Gay Lea Foods’ role in helping shape it,” said Suzanna Dalrymple, President and Chief Executive Officer of Gay Lea Foods. “That future will be built on Canadian dairy farms and in modern processing facilities equipped to respond to evolving consumer preferences.”
The company said cottage cheese has seen increased demand as Canadian consumers seek what it describes as nutritious and affordable health and wellness options.
The expansion will increase production across Gay Lea Foods’ high-protein dairy portfolio, including cottage cheese, while strengthening the company’s processing capabilities.
Gay Lea Foods said the changes are intended to help it respond to changing market needs and support its longer-term growth.
Jobs and Canadian dairy
The Clayson Road expansion is expected to create up to 75 new positions at the facility, adding skilled manufacturing jobs, according to the company.
Gay Lea Foods is a farmer-owned co-operative with approximately 1,200 dairy farmer members in Ontario and Manitoba. The company said the investment is part of a broader effort to strengthen its Canadian manufacturing network.
“For more than 65 years, our farmer-members have invested to build a stronger future for Canadian dairy,” said Andrew Henderson, Chair of the Board at Gay Lea Foods. “Expanding a facility that transforms Canadian milk into a product sold exclusively to Canadian consumers, is a natural extension of our co-operative’s legacy.”
Gay Lea Foods, founded in 1958, produces dairy products and ingredients under brands including Gay Lea, Nordica, Salerno, Ivanhoe and Bothwell Cheese.
More from Retail Insider:
