Danone invests EUR240m in a new infant formula plant in Netherlands
Danone has announced an investment of EUR240m (US$255m) that will see it construct a "state-of-the-art" infant formula facility in Cuijk, the Netherlands. The facility will start production in late 2017 and manufacture Danone's early life nutrition brands including Aptamil and Nutrilon for both standard and specialized products.
Danone said the new plant represents its "largest investment" in European production capabilities and will double the French firm's production capacity in the Netherlands. Output will be exported to more than 80 countries worldwide.
Danone's European infant formula business has seen sales lifted by growing demand for infant formula manufactured in Europe from markets such as China. In its most recent financial update, Danone revealed early life nutrition sales were up 10.9% in the third quarter.
In a statement released on December 2 2015, Danone said the new facility would enable it to further capitalize on "strong and growing demand for its international early life nutrition brands".
Cuijk was chosen to capitalize on the "expert know-how of current staff" and for the site's proximity to Danone's research and development center in Utrecht, which is the company's global hub for research dedicated to early life nutrition and advanced medical nutrition.