Dairy producer secures French milk factory deal

Synutra International Inc has been approved from China's commerce authorities to go ahead with a 100-million-euro ($130 million) investment project in France. [Wu Changqing / Asianewsphoto]

QINGDAO - Synutra International Inc has been given approval from China's commerce authorities to go ahead with a 100-million-euro ($130 million) investment project that will result in the construction of a milk factory in France.

The company, based in the city of Qingdao in East China's Shandong province, said Tuesday that construction will kick off in France's western Brittany region in September.

Li Ke, general manager of Synutra, said the company expects the factory to start production in the first half of 2015.

As Synutra's first overseas factory, it will supply cheese products to the European market and allow for whey powder to be shipped to China.

Li said Chinese baby formula producers largely depend on imports for whey powder, a crucial ingredient in making formula.

Li said the factory will be built according to European standards and target the global dairy market.

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