Dairy company plans $127m expansion

The owner of the Devondale dairy brand is spending 127-million dollars to expand its operations. Source: AAP

THE owner of the Devondale dairy brand is spending $127 million to expand its baby food, cheese and beverages operations.

Murray Goulburn Co-operative will make the new investments in the next 18 months, adding to its current operations at sites in Victoria and Tasmania.

"These investments secure sustainable, skilled jobs in regional Victoria and Tasmania and add to higher farmgate returns which, in turn, funds regional growth with the vast majority of money spent by farmers in their local communities," chief executive Gary Helou said.

But the expansion of its sites at Cobram and Koroit in Victoria, and Edith Creek in Tasmania, will need upgrades to regional infrastructure, particularly energy.

The company said it would seek to work with the government and energy providers to deliver those upgrades.

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