Move over, cow’s milk. Plant-based milk alternatives (though they technically aren’t milk) have skyrocketed in popularity since the 1990s and early 2000s.
One company producing a variety of plant milk is benefitting from these trends, and recently added a $26 million expansion to one of its key facilities in the U.S. so it can better meet consumer demands…
Follow The Coconut Mama
• For fun lists, healthy living tips, and bar conversation topics, make sure to follow The Coconut Mama. Click here to access The Coconut Mama’s profile page and be sure to hit the Follow button here or at the top of this article!
• Have feedback? Add a comment below!
Shutterstock
SunOpta is a company specializing in the “sourcing, processing and packaging of organic, conventional, non-GMO food products”, according to its LinkedIn.
Founded in 1973, SunOpta’s headquarters had been located in Brampton, Canada, until recently. In 2022, the new headquarters opened in Eden Prairie, Minnesota. What does SunOpta manufacture, you might be asking? Good question!
Shutterstock
SunOpta specializes in plant-based milk alternatives like oatmilk, soymilk, almondmilk, coconutmilk, and hempmilk. It sells liquid plant milks as well as concentrates for oatmilk and soymilk called “bases”. These bases can be mixed with other ingredients by customers to make plant milk, yogurt, cheese, ice cream, and other products.
It also produces “better-for-you” fruit snacks (twists, bars, strips, etc.), broth, stock, as well as liquid packaged and bulk tea concentrates.
Shutterstock
SunOpta owns a few brands:
- SOWN
- Dream
- West Life
In addition, SunOpta produces foods and beverages to be sold to other retailers under their own brand name (private label). It also contracts with certain foodservice providers and businesses. For instance, a coffee chain might buy oatmilk from SunOpta to use in its drinks.
Shutterstock
Last October, SunOpta announced its plans to expand its facility in Modesto, California. The expansion, which was completed some time last month, added 167,684 square feet of production space.
The expansion project is the second-largest in the company’s history, and came with a budget of $26 million.
Shutterstock
According to SunOpta, the expansion brings with it the ability to increase its annual oatmilk production by 60%. The majority of this increase in production is through the oatmilk base, which began being sold commercially in May.
SunOpta says the expansion adds 17 new jobs, bringing the total to 208 for the Modesto location.
According to the company, the expansion of the Modesto facility will also cut down on approximately 800,000 freight miles in SunOpta’s network per year.
Shutterstock
SunOpta has three other locations in the U.S., which are placed in a strategic diamond shape for a more sustainable network of distribution.
Besides Modesto, these locations are in:
- Allentown, Pennsylvania
- Alexandria, Minnesota
- Midlothian, Texas
Shutterstock
According to some sources, the plant-based milk market is estimated to grow from $20 billion in 2024 to over $45 billion by 2034.
Those projections aren’t surprising, given the increase in popularity of plant-based milk over cow’s milk. According to the United States Department of Agriculture, “U.S. per capita fluid milk consumption has been trending downward for more than 70 years and fell at a faster rate during the 2010s than in each of the previous six decades”.
Follow The Coconut Mama
• For fun lists, healthy living tips, and bar conversation topics, make sure to follow The Coconut Mama. Click here to access The Coconut Mama’s profile page and be sure to hit the Follow button here or at the top of this article!
• Have feedback? Add a comment below!
Shutterstock
There are several reasons plant milk is increasing in popularity. Here are just a few:
- More suitable for people with food allergies or intolerances.
- Lower in calories for weight management goals.
- More suitable for diets like vegan, low-carb, Paleo, etc.
- Considered more environmentally friendly compared to cow’s milk (reduced emissions, less land and water use, etc).
Whether consumers are switching to plant milk for health reasons, environmental concerns, or just plain personal preference, it doesn’t change the fact that plant milk is here to stay. And it’s getting more popular..
Shutterstock
While dairy products are still a staple for many people, the shift in dairy consumption has been enough to impact dairy farmers.
In 2019, dairy farms decreased by 5.5% from the previous year in the U.S. In 2020, more than 2,500 dairies closed their doors.
Shutterstock
Along with changing consumer trends, increased production costs (higher cost of feed, fuel, and more) are also making things harder for dairy farmers.
In addition, increasing regulations imposed by agencies like the EPA and the USDA can impact dairy farmers’ bottom lines.
The declining consumption of dairy and increasing demand for plant-based alternatives explain the success SunOpta is experiencing, leading to growth and expansion.
Shutterstock
This expansion and creation of new jobs (albeit not a significant amount) is good news for California.
California has had several factories close recently, including:
- Frito-Lay
- Manzana
- Foster Farms
- Coca-Cola
- Del Monte
Many companies cite increased taxes and high costs for running a business in California, so some of these plants have been relocated to other states, while others were simply closed.
Shutterstock
Due to the increased demand for plant-based milk (particularly oat milk), SunOpta has added on to its existing location in Modesto, California. The expansion added more jobs to the location, and reduced the amount of freight miles for the company.
Has your consumption of dairy changed over the years? If you drink plant-based milk alternatives, which is your favorite? (I’m personally a fan of almond milk!)
Share your preferences in the comments!
Shutterstock
Leave a Comment