A new baby formula production facility has opened its doors, aiming to reduce Canada’s reliance on imports from the United States.
“What a great day for our dairy industry,” said Mark Hamel, chairman of the Dairy Farmers of Ontario, at the inauguration.
Canada Royal Milk, a Chinese-based company, has been producing powdered milk products, but this new facility will focus on infant formula production. Most of Canada’s baby formula is currently imported from the U.S., something the company is working to change.
“It’s going to be industry-changing for us,” said Hamel. “We’re going to be providing a product that has never before been processed in Canada.”
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The factory comes amid a nationwide shortage of infant formula that began in 2022, attributed to the country’s dependence on U.S. suppliers. The new facility is expected to prevent similar shortages in the future.
“Finally, we’ve got the infant formula available for the local market. We can help the Canadian consumer to solve the shortage,” said Han Chengang, general manager of Canada Royal Milk.
Chengang noted the factory’s critical role in maintaining the resilient local supply chain.
“Three years ago, because of the infant formula shortage, this factory has become super important to the local market,” he said.
The facility is expected to employ over 200 workers once full production begins.
While the product is currently only available online, Canada Royal Milk expects to have its infant formula in stores by October.
“The whole intent is to provide better nutrition for our citizens in Canada,” said Hamel.
