Chobani Invests $1.2 Billion in Pennsylvania Dairy Manufacturing

en.Wedoany.com Reported - On September 1, Chobani confirmed a $1.2 billion investment in Pennsylvania to establish its first dairy manufacturing facility in the state. The company will acquire Keurig Dr Pepper's manufacturing plant, production equipment, and related infrastructure in Upper Macungie Township in the Lehigh Valley region, and will expand its food production operations on this basis. The project is expected to create more than 900 full-time jobs over the next five years, with Chobani production operations anticipated to commence in 2027.

The facility covers approximately 1.5 million square feet, equivalent to about 139,000 square meters. At full capacity, it will procure and process over 3 billion pounds of locally produced Pennsylvania milk annually, representing roughly 30% of the state's current annual milk output. The new processing demand will directly connect with more than 4,000 local dairy farms, making it one of the largest new dairy processing demands in Pennsylvania in recent years. In addition to yogurt products, Chobani also plans to develop and produce other food products at this site.

To support the project's implementation, Pennsylvania plans to provide $50 million in loans and grants through the PA SITES program for upgrades to the plant site and regional infrastructure. Additionally, the state has allocated $127 million in loans and grants for eligible dairy farms to support expanded production capacity, meeting the large-scale raw milk demand generated by the new facility. The project will also receive supporting assistance in water supply, wastewater treatment, permitting approvals, and local infrastructure.

Pennsylvania is home to approximately 4,300 family-owned dairy farms, and dairy production has long been a vital component of the state's agricultural sector. This $1.2 billion project has been designated as the largest single private investment in the state's agricultural history. As the plant comes online, Chobani will establish a new regional supply chain spanning raw milk procurement, dairy processing, and food manufacturing, creating sustained demand for local milk absorption, food processing capacity, and agricultural supporting infrastructure.