The group announced yesterday that it has completed the third phase of an ongoing investment strategy in the country, which since 2004 has seen annual production capacity for its packaging rise from 8bn units.

The group will further extend this focus next year with the inauguration of a new €60m packaging plant in Hohhot, Inner Mongolia, increasing total annual output capacity by a further 8bn packages.

Upon completion of the construction, the group said it would, through its four production plants in the country, be able to serve processors throughout Southern, Eastern, Nothern and North Eastern China.

Besides investing to meet rising dairy demand in the country, group managing director Hudson Lee said that processors and packagers have the responsibility to ensure that the growth remained sustainable by encouraging innovation.

The group said therefore, that it was working with both the Chinese government and national industry associations to push growth through the country's entire dairy value chain.

Source: foodnavigator.com