$100M Plant Opens: Is Australian Dairy Safe from Imports

Pure Dairy has officially opened its significant $100 million processing plant in Dandenong South, Melbourne, marking a major milestone in the Australian dairy processing landscape. This new site represents a strategic move to meet demand within the Australian food service sector, with acknowledgments from industry figures such as Victorian Industry Minister Colin Brooks.

However, the plant's larger impact on the local dairy industry is being questioned. While 90% of the dairy products currently processed are sourced locally, industry groups fear over the plant's capacity to process and label imported cheese under the "Made in Australia" banner. These concerns arise from potential importation of cheaper dairy products, which could undermine domestic dairy profitability and lead to further local factory closures.

In defense, Pure Dairy's Executive Chairman, Adrian Josephson, stresses the company's heavy reliance on domestic sources and adherence to Australia’s strict food labeling laws. He added that the site's production, primarily directed towards the food service industry, is a substantial commitment to supporting local agribusiness.

Amid industry tension, Pure Dairy extends an invitation to industry leaders to witness the investment and the company's efforts in maintaining Australian dairy integrity. The discussions highlight an ongoing challenge balancing local protection with competitive global dairy economics.