U.S. Dairy Processors Expand Capacity To Meet Demand

Oct 10, 2025

According to data released by the International Dairy Foods Association (IDFA), America’s dairy processors will have invested more than $11 billion in new and expanded manufacturing capacity across 19 states, including Kansas, by the end of 2028. These new and upgraded facilities, of which there are more than 50, will add to the billions of dollars of new processing capacity that has come online in the past decade.

This continual growth is in response to surging consumer demand for dairy products. IDFA data shows U.S. milk production is expected to grow by 15 billion pounds by 2030 to meet consumer needs. Sales of yogurt, shakes, smoothies, cottage cheese, whey protein powder, milk products and more have risen sharply. Cottage cheese sales alone have surged by about 20% in the U.S. in the year leading up to June 2025, according to Circana, a data analytics company.

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Video: New Solution Powers Efficient Pork Growth

Alltech has introduced Olerix, an innovative phytogenic blend created to promote growth and feed efficiency in pigs. Through a proprietary coating process, the bioactive blend of phytogenic compounds used in Olerix is designed to outlast the manufacturing process, ensuring consistent outcomes from feed to finish. The result is a high-impact efficiency solution that provides consistent support for gut health, feed efficiency, immune function and growth performance. Olerix is backed by validated trials conducted under modern pork production conditions.

“As the industry searches for technology to drive profitability forward in a more sustainable manner, we’re thrilled to join that effort with our Olerix technology,” said Mark Hulsebus, general manager for U.S. pork at Alltech. “Our work in this phytogenic space is yielding very encouraging results, and we’re excited to make this new opportunity available to pork producers focused on optimizing feed efficiency and growth rates.”

“Olerix represents the next generation of phytogenic technology — combining feed efficiency, livability and immune support into a practical commercial solution producers can implement today,” said Andy Rash, U.S. monogastric director at Alltech.