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FT-eMag-feb18

INNOVATION NEW SPRAY DRYER PLANNED FOR SHEEP MILK DEMAND www.foodtechnology.co.nz 5 A $45 million food spray dryer will be installed at Food Waikato at the Waikato Innovation Park to deal with an increase in demand for sheep milk. The existing open access development spray dryer, which came online just five years ago, is already at capacity and needs help to cover extra capacity. Waikato Innovation Park chief executive Stuart Gordon says the existing dryer processes about 900,000 litres of sheep milk annually, but demand is set to double in the 2019/20 season, with 50% increases yearly after that. He is hoping that the new dryer will be online by June 2019. “The existing dryer has more than delivered on its original promises and is now sitting at capacity with 308 days of production in the year to June 2017, and achieving $53 million of exports in that year,” Gordon says. “We now need to be as proactive as possible and get ahead of this rapidly increasing demand from the sheep milk industry.” The second processing drying facility will have 2.4 times the capacity of the existing open access development dryer, and will be the same height as the existing dryer but with increased levels of biosecurity that will allow it to produce high-grade infant formula and other products. It is projected to deliver $129 million in exports a year. Food Waikato will contribute about $1.4 million of the $45 million cost, Gordon says, with debt and equity from dryer users making up the balance. Stakeholders Hamilton City Council (70%) and Callaghan Innovation (30%) are not being asked to contribute but are being informed as stakeholders. City council executive director special projects Blair Bowcott says the rapid uptake of capacity in the existing spray dryer is impressive. “We are very pleased to hear about the next step for Food Waikato and know that Waikato Innovation Park is delivering for the region.” The park, which sits on 17ha at Ruakura, opened in 2004 with the aim of clustering businesses to help drive economic growth, and is now home to 46 tenants who have more than 1600 staff between them. The park’s property assets are worth $25 million, not including the existing or any future spray dryer, and a master plan for the future growth of the park shows the potential for it to house 2500 staff, add another 12 buildings and be worth $180 million within 20 years. For more information on Waikato Innovation Park Ltd or Food Waikato, visit http://www.wipltd.co.nz/


FT-eMag-feb18
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