New Zealand lactoferrin plant under construction

Westland Milk Products, subsidiary of Yili, held a ceremony for the construction of its NZ$70 million (AU$65m) lactoferrin plant at Hokitika, New Zealand. The ceremony was attended by New Zealand’s Trade, Export and Agriculture Minister and MP for West-Coast Tasman Damien O’Connor; Director-General of the Ministry for Primary Industries Ray Smith; Chinese Ambassador to New Zealand Wang Xiao Long; and Chinese Consul-General in Christchurch He Ying.

Guests were welcomed by Westland CEO Richard Wyeth and provided with an overview of the lactoferrin project background. Yili Westland’s Resident Director, Zhiqiang Li, spoke about the global market advantage that both Westland and Yili would gain from Yili’s investment in the new lactoferrin plant.

The investment will grant Yili approximately 10% of the lactoferrin market share, allowing it to rank among the leading companies in the category.

“We were one of the first to market with this highly specialised protein ingredient, and over the past 20 years have established a reputation as a manufacturer of a product of exceptional quality,” Wyeth said. "Our bioactive ingredients innovation pipeline is well advanced and we’re excited to be a step closer to bringing these concepts to commercialisation.”

Lactoferrin is claimed to offer immune benefits as well as antibacterial and antioxidant functions and is now used in food, pharmaceutical products and in other industries. Yili has invested resources in R&D to tackle lactoferrin extraction challenges.

The company has developed its own directional lactoferrin extraction and protection technology, which is designed to enhance the quality of protein ingredients and increase extraction efficiency.

According to analysts, lactoferrin is a crucial and scarce resource for the dairy industry. This project is therefore a significant step in Yili’s efforts at overcoming core technological barriers, strengthening its global influence and developing its long-term strategic layout.