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Land O’Lakes has announced an investment in its dairy processing facility in Tulare, California, to add ultra-filtered milk production and expand its presence in the dairy protein market.

The cooperative said the upgrade would allow it to produce higher-value protein ingredients from milk supplied by its farmer-owners, opening up new markets and supporting returns for members.

Ultra-filtered milk is produced by filtering milk to concentrate its protein content while removing some water and other components. It is commonly used in protein-enriched foods and beverages.

Heather Anfang, executive vice president of Land O’Lakes and president of its Dairy Foods division, said: “At a time when protein is reshaping how consumers eat and how the food system operates, this investment positions Land O’Lakes, our Tulare facility and our farmer-owners to lead”.

She added that the project would help build a more resilient dairy business while generating additional demand for members’ milk.

Land O’Lakes cited growing nutritional awareness and the increased use of GLP-1 weight-management medications among the factors influencing demand for protein-rich products. The cooperative expects global dairy protein demand to continue increasing and potentially outpace supply for the remainder of the decade.

Around 100 Land O’Lakes farmer-owners and farming families operate in the Tulare area, one of the largest milk-producing regions in the US. The cooperative said the facility’s existing scale, available capacity and access to export markets made it suitable for the expansion.

The investment is also expected to support local employment and reinforce Tulare’s role within Land O’Lakes’ dairy processing network. The cooperative did not disclose the value of the project or provide a timeline for the new capacity to become operational.

“This is about more than a single upgrade. It’s about building the future of dairy,” Anfang commented. “We are investing in innovation, in our members, and in meeting the evolving needs of consumers around the world.”