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Area Development - Site Selection, Facility Planning and Workforce Development

Feihe International Creates Canada Royal Milk Dairy in Kingston, Ontario

12/08/2017
Canada Royal Milk, a subsidiary of China-based Feihe International, will build a $225 million baby formula production dairy in Kingston, Ontario, Canada.

According to powerpoint presentation supplied last year by Feihe to Kingston Economic Development Corporation, the $225 million plant will encompass 320,000 square feet and be Canada’s first and only wet infant formula facility.

It will also be North America’s first and only goat milk infant formula facility, company officials reported. Feihe called its proposed dairy “one of the largest foreign direct investment projects in Canada for job creation. “

The plant’s design will include 2 separate productions lines: 1 for cow dairy and 1 for goat dairy. The facility will be designed as a multi-phase project, with Phase I focusing on infant formula production with cow dairy. Phase II will add infant formula production with goat dairy and Phase III will see the addition of nutra-ceutical products and/or distribution.

Feihe said it chose Kingston because of its location to milk supply, 4 border crossings and highway 401. Both “Ontario and Qigihar, Heilongjiang, (in China) where Feihe’s milk resources are located, are both situated in the world’s golden milk belt at 47 degrees north latitude, where its natural environment is the most ideal place for producing premium quality dairy products, “ Feihe International Chairman Youbin Leng said.

As an incentive, the Ontario Provincial Government will provide a grant of $18.7 million to support the project, which is expected to provide jobs to 277 associates.

Ontario agriculture minister Jeff Leal said, “We’re excited to welcome Feihe International to Ontario. In addition to bringing good jobs to the Kingston community, this project will also open up new opportunities for our dairy and goat producers to continue to grow and thrive.”

According to a report by the CBC about 85 percent of the baby formula will be shipped back to China to feed an anticipated baby boom.

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