SunOpta opens $125M ‘mega facility’ to double plant-based milk business in Texas

SunOpta (Nasdaq: STKL), a leading producer of healthy foods and beverages, announced the opening of a $125M plant-based beverage production facility in Midlothian, Texas. According to SunOpta, the new ‘mega facility’ will create 175 jobs and significantly expand the company’s manufacturing capacity, allowing it to double its business by 2025 compared to 2020.

“This plant is an important part of SunOpta’s long-term goals and a strong next step in our company’s vision.”

Strategically located in Texas, the new manufacturing facility currently features 285,000 square feet, where it will produce the company’s full suite of plant-based milks and creamers, along with teas and other products. The facility will also offer a range of package sizes and formats, including 16-ounce and 32-ounce packages primarily used in retail, foodservice and e-commerce, and 330-milliliter packages typically used for high-protein nutritional beverages.

In the future, SunOpta says the plant has the capacity to expand to 400,000 square feet for additional growth. At this stage, SunOpta says the facility will become its largest plant dedicated to plant-based food and beverages.

SunOpta's revenue increases
© SunOpta

SunOpta, which aims to double its plant-based business by 2025 investment Plant-based production capacity of about $200 million in recent years to support growing demand for dairy-free milk alternatives.

In 2021, SunOpta acquired legacy dairy-free brands Dream and Westsoy from Hen Celestial Group for $33M. The following year, it reported that its Q2 revenue topped $243M, driven largely by strong growth in plant-based food and beverage sales.

rice dream
© Dream

Strategic location

The company said the new Texas facility was designed with sustainability in mind, and that the plant will work to reduce carbon emissions, conserve water and use recycled materials. Combined with SunOpta’s plants in California, Minnesota and Pennsylvania, the Texas location creates a ‘diamond-shaped’ network for national distribution.

“This plant is an important part of SunOpta’s long-term goals and a strong next step in our company’s vision,” said SunOpta CEO Joe Enen. “The fully equipped and state-of-the-art facility will enhance our manufacturing and supply chain capabilities. Additionally, through our dedication to innovation and sustainability, we can respond to the growing nationwide demand for plant-based food and beverages.”

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