FDBusiness.com

AB Holdings, which is one of Turkey’s largest food groups, is to build a new dairy products factory in Konya in the centre of the country, through its subsidiary Panagro. Construction of the new dairy, which will serve the Turkish and neighbouring markets, is scheduled to begin in early 2011.

The dairy is being designed by SPX, the provider of engineering, manufacturing and system solutions for the global food processing industry, under a $15m contract. The new dairy is expected to produce yoghurt and ayran (drinking yoghurt), as well as double cream cheese, cheddar, kashkaval and feta cheese, butter, milk produced with ultra-high temperature processes, demineralised whey, skimmed milk powders and fruit juices.

Plans include multiple solutions from SPX’s broad portfolio of branded processing technologies and solutions. Technologies include APV-branded automated thermal milk processing, fresh dairy processes, membrane and CIP (clean in place) technologies; Gerstenberg Schroder butter-making equipment; and Anhydro tubular evaporation and spray drying technologies.

The Panagro dairy will be designed from the ground up to be vertically integrated in a combined operation that includes an adjacent cattle farm and meat production facility.

“Nearly 30% of Turkey’s population of 70 million people are under the age of 30, and this is the highest percentage of young people among all European countries,” says Baydu Veznedaroglu, chief executive of AB Holdings. “To feed these children and young people with healthy foods, we should increase the number of dairy and meat plant investments in Turkey. Our country is also becoming a leading exporter of dairy products to the Middle East, and this dairy will play an instrumental role in our company’s plans for this region.”