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Diving overview:
Bell Group is Spending $200 million invested in expansion of Babybel cheese production plant The investment in Brookings, South Dakota is the largest U.S. investment in the company’s history.
The project will double plant production to 20,000 tonnes per year and enable the company to meet future growth in the snack, protein and portion-controlled food sectors. The expansion is expected to add 150 jobs.
- The announcement comes a month after Bell appointed former Impossible Foods CEO Peter McGuinness. North American CEO operate. Bel, which also produces Laughing Cow and GoGo Squeez, aims to double the size of its U.S. operations over the next few years.
Dive Insights:
Dairy has been one of the biggest beneficiaries of the protein craze, with companies in the sector expanding to keep up. For example, yogurt giant Danone said: Having trouble meeting demand It produces high-protein yogurt and has invested millions of dollars to expand its facilities. texas and ohio.
Bel is not yet feeling any supply constraints. In an interview, McGuinness said the company is handling demand now, but without the South Dakota expansion, problems could arise as early as next year. He said he is seeing strong demand for Babybel as consumers seek foods that are convenient, portion-controlled, contain protein and are made with fewer ingredients.
“We’re not struggling. We’ll be OK in 2026, but we won’t be OK in 2027,” a former Chobani executive said of Babybel. “Given our growth rate and what we already know about late 2026 and first half of 2027, this is perfectly timely.”
This expansion comes as Babybel begins to pay more attention to the high-protein trend. The brand has been launched Babybel Pro earlier this monthProvides 5g of protein and 1 billion live probiotics for gut health.
McGuinness said Bel is reporting “healthy” sales and profits in the U.S. and North America, with Babybel’s sales growing in the low double digits. The United States is Bel’s largest market, driving one-third of its global business with annual retail sales of more than $1.2 billion.
The Brookings project follows Bell’s project. Recent $10 million expansion Added 50 jobs and increased production capacity at Laughing Cow at its Little Chute, Wisconsin facility. The company also announced a $140 million expansion of its facility in Nampa, Idaho, doubling production capacity for GoGo Squeez.
