Lactalis USA is investing $75 million to expand its Walton and Buffalo plants, creating new market opportunities and securing demand for over 800 million pounds of milk from New York dairy farms.
Lactalis USA has announced it will invest more than $75 million to modernize and expand its dairy processing facilities in Walton and Buffalo, N.Y. Governor Kathy Hochul announced the investment as a major win for New York’s dairy industry, the state’s largest agricultural sector.
“By investing in the Lactalis USA facilities and assisting with improvements, New York is retaining hundreds of jobs and adding new jobs, as well as helping to support the region’s dairy farmers,” Hochul says.
Two Projects, One Commitment to Growth
In Walton, Lactalis is investing $15 million to automate and expand cottage cheese and sour cream production lines. The upgrades will boost output by 30% and create more than 20 new jobs. The plant, which produces Breakstone’s products, will also receive infrastructure updates including new fillers, HEPA air filtration systems, upgraded boilers, roofing and lab equipment.
Lactalis USA CEO Esteve Torrens notes that the Walton site plays a critical role in the company’s future.
“This site continues a rich tradition since 1882 of producing Breakstone’s Sour Cream and is essential to strengthening our cottage cheese business in a rapidly growing category,” he says. “We are committed to supporting the communities of Buffalo and Walton as we continue to grow in those markets, and we thank Gov. Hochul and ESD for their support.”
In Buffalo, a $60 million expansion at the South Park Avenue plant includes six 50,000-lb. vats, a new cheese belt system, separators, silos and a robotic palletizer. The facility, which produces Galbani ricotta, mozzarella and provolone, will also increase ricotta output and boosts mozzarella and provolone production by 37 million pounds annually. New energy-efficient technology and remodeled spaces, including a relocated cheese lab, support operations and innovation.
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Economic Impact Reaches Beyond the Plants
The Walton and Buffalo facilities process more than 800 million pounds of raw milk each year from 236 local dairy farms, helping sustain the region’s agricultural economy.
“The direct impact of Lactalis remaining and growing in Walton and Buffalo is hundreds of cheese manufacturing jobs,” says Hope Knight, Empire State Development president, CEO and commissioner. “But indirectly, the plants also support area dairy farmers by purchasing more than $180 million worth of milk each year.”
To support the expansions, Empire State Development will provide $1.3 million in performance-based Excelsior Jobs Program tax credits, $750,000 for Walton and $550,000 for Buffalo.
State and Local Leaders Applaud the Expansion
New York State Agriculture Commissioner Richard A. Ball calls the investment a “win-win,” noting that it creates and retains jobs while strengthening the state’s dairy sector.
“This expansion is great news for the dairy farmers that supply fresh, local milk for the Lactalis cheese manufacturing facilities,” Ball says.
Local leaders echo that sentiment:
- Senator Peter Oberacker: “Generational family-owned farms in the 51st District set the gold standard for dairy excellence nationally, and this investment is a powerful testament to that legacy.”
- Assemblymember Patrick Burke: “Lactalis’ expansion secures good-paying jobs, supports local farmers and boosts key sectors of our statewide economy. It’s a big win for South Buffalo.”
- Erie County Executive Mark Poloncarz: “This investment is great news for the Lactalis plant, its workers and all the ancillary workers in the local dairy field who benefit from this expansion.”
- Buffalo Mayor Christopher Scanlon: “This $60 million expansion strengthens the connection between our local economy and family-owned dairy farms across the region.”
New York’s Dairy Industry Means Business
New York ranks fifth in the U.S. for milk production and first for yogurt and cottage cheese. With nearly 3,000 dairy farms and 630,000 cows producing over 16 billion pounds of milk annually, dairy remains a key driver of the state’s economy, accounting for nearly half of its total agricultural receipts.
“From Walton to Buffalo, this expansion is creating opportunities, preserving livelihoods and ensuring that New York remains at the forefront of dairy innovation,” says Senator April Baskin. “It’s proof that when we invest in our communities and our industries, we’re building a stronger, more sustainable future for everyone.”
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