Swiss Valley expanding cheese plant

Swiss Valley Farms on Monday announced a $20.6 million expansion of its cheese manufacturing facility in the Clayton County community of Luana.

The Davenport-based four-state cooperative said the expansion centers around the improvement of the cheese manufacturing operating equipment. The co-op will replace existing press vats with a molding system solution, install additional system automation, update press tunnels and install new buffer tanks.

The project also includes a 12,000-square-foot expansion, which will allow room for the new equipment and additional warehousing space.

The northeast Iowa plant, which was acquired by Swiss Valley Farms in 1967, manufactures swiss, baby swiss, Gouda, cream cheese, Neufchatel and sweet whey. Swiss Valley Farms CEO Don Boelens said increased demand for the products as well as new varieties of cheese prompted the expansion decision.

'Our goal is to increase capacity at this facility, drive efficiency and explore new cheese types that our customers are demanding,” Boelens said.

The expansion is expected to double natural cheese production capacity and give Swiss Valley the flexibility to produce new cheese varieties and sizes, such as maasdam, havarti and muenster.

Swiss Valley Farms expects to break ground in 2015, with completion planned in late 2016.

'(This expansion) will give us the flexibility we need to meet ever-changing market demands and the operational upgrades needed to continue to be a viable business,” Boelens said.

The Iowa Economic Development Authority Board on Friday awarded Swiss Valley $465,000 in direct financial assistance as well as tax benefits for the project. It will create 10 jobs and retain 89 at a qualifying hourly wage of $13.70.

l Comments: (319) 398-8366; george.ford@thegazette.com