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A unique partnership between four of Ireland's leading dairy companies to research how the natural properties of milk can be extracted and used to deliver health benefits for consumers has received €20m in funding from Enterprise Ireland.

Infant formula, dairy spreads, yogurts and cheese are some of the products that will be enhanced to help maintain health and alleviate conditions associated with serious diseases.

Irish Minister for Enterprise, Trade and Employment Mary Coughlan said: "This is a significant development in the Irish food sector. The State's investment of €20m in the new National Functional Foods Research Centre will lead to the delivery of new high-value, innovative food products for the health conscious consumer. The dairy sector has a tremendous opportunity to capitalise on this research, entering new markets and increasing exports and employment in the sector.

"Enterprise Ireland worked extensively with the four dairy companies involved- Dairygold Food Ingredients, Glanbia Nutritionals, Carbery and Kerry Ingredients Ireland, to develop a medium to long term strategy for their sector based around maximising the commercial value of their common raw material – milk,” Coughlan added.

A consortium of research institutions will tackle the research agenda agreed between the dairy companies. Dr Paul Roben from Enterprise Ireland said: "It is encouraging to see the progress already made by the dairy companies collaborating in this research centre. By agreeing to work together to develop a strategy for their sector, these companies have identified a range of high value products that when brought to the international marketplace will lead to increased exports and create employment in the food sector.”

The four companies involved have committed to making a financial contribution to the centre each year for five years, bringing the total funding for the NFFRC to over €22 million. It is expected that 50 people will be trained and employed by the companies over the five years of the research programme.