Former McCain Foods Plant in Penola (Australia) gets new life as dairy processing facility
Former McCain Foods Plant in Penola (Australia) gets a new life as dairy processing facility.

Meat tycoon Colin McKenna will spend $60 million transforming the former McCain potato factory at Penola in south-eastern South Australia into a dairy processing plant.

The investment by Mr McKenna's Midfield Group, which last year turned over $760 million, marks its first move into the dairy industry. Midfield acquired the former McCain plant late last year.

"A whole range of dairy industry participants and investors have been considering similar projects in south-east South Australia and Western Victoria, but few have made a commitment like Midfield," Colliers International agribusiness agent Jesse Manuel said.

"It's excellent to see a new entrant to the dairy industry make such a significant investment in the sector, particularly in this location."

Construction of the Penola facility is due to commence in the second quarter of 2015 and be operational by the middle of next year. About 80 jobs will be created during the year-long construction period with more than 50 full-time jobs and a further 110 indirect jobs created once operational.