Synutra to increase dairy-processing capacity

China’s Synutra International is building a new facility capable of processing 120,000 tons of fresh milk per year, producing 40 tons of milk fat per day, manufacturing milk protein-based food ingredients and producing packaged nutritional products, including protein bars, for the retail market.

The company says it will carry out these plans with recently-acquired land use rights, plant buildings, and equipment from the Finance Department of Zheng Lan Qi (County) of the Autonomous Region of Inner Mongolia in China.

With the newly acquired assets, the Synutra management team estimates that the Company's nutrition bars production capacity will reach 50,000 tons per year in three years.

Dr. Willie W. Wu, Synutra's Vice President for Sales and Marketing, said, "The nutritional power bar launch will enable Synutra to enter another fast-growing category in China's dairy market, the milk protein-based nutritionals segment. The target customer group for the milk protein-based nutritional products is similar to that of Synutra's existing products, which will allow us to leverage our existing manufacturing and marketing capabilities and vast distribution network."