VOLAC INTERNATIONAL, the milk powder manufacturer, is to open a new factory in the Netherlands in a joint venture with Dutch cheese-maker DOC.

But the Cambs-based company stressed that the expansion posed no threat to its existing UK business.

Volac‘s Andy Richardson said the move was a logical step in expanding the business to meet an increase in demand.

“In the past three years we have seen continued growth and this was an opportunity to develop our production capacity in Europe.

“DOC is one of Holland‘s biggest cheese makers, and our business is in adding value to the whey by-product,” said Mr Richardson.

“But we remain fully committed to UK production and our plant at Felinfach in Wales will continue to make milk powder and other feed ingredients,” he added.

The new plant at Hoogeven in Holland will handle 50,000t of dried products a year.