Baltic Dairy Board Launches €60 Million Cheese Production Facility in Latvia

The Baltic Dairy Board, a Latvian milk processing company under the ownership of Lithuania's Vilvi Group, has completed the setup of a new cheese production facility in Bauska. This new venture signifies the group's largest investment project to date, with costs surpassing €60 million. The company announced the beginning of commercial cheese production on January 28th.

The first batch of cheese from this facility was dispatched to customers in Italy during the latter half of January. Once fully operational, the factory is expected to provide over 100 new jobs and produce 18,000 tonnes of cheese annually. The cheese produced will be exported to more than 40 countries worldwide.

Vilvi Group's CEO, Gintaras Bertašius, highlighted the strategic decision to establish the plant in Latvia due to its advantageous geographical location for logistics, partnerships with local milk suppliers, and the financial support from the Latvian government. Notably, the state is contributing approximately 20% of the project's funding.

Bertašius further noted the existing infrastructure in Bauska, which allowed for optimized investment costs compared to new construction in Lithuania. This infrastructure supports both milk and whey processing, enhancing the group's logistics efficiency, as a significant portion of fresh milk is sourced from Latvia and Estonia.

Vilvi Group, known for its subsidiaries such as Vilkyškių pieninė, Modest, Kelmės pieninė, Kelmės pienas, and Pieno logistika, acquired the Baltic Dairy Board in 2021, further consolidating its presence in the Baltic region's dairy industry.