Fonterra has announced its intention to close its canning and packaging plant located in Hamilton (Ontario, Canada) by the end of July.
The facility, known as Canpac, is responsible for blending and packaging powdered milk. Its closure is in line with the cooperative’s strategy to focus on higher value-added products, such as specialized proteins and medical nutrition.
Anna Palairet, Fonterra’s Director of Operations, explained that low production levels and increased operational complexity have led to difficult economic conditions for the plant. The company’s strategy focuses on generating value throughout the entire chain and improving returns for farmer shareholders. The cooperative will aim to consolidate its operations in areas where it has greater capacity and competitive advantages, such as dairy ingredients and food service.
Additionally, she assured that Fonterra will provide support to its workers during the consultation process and as relocation options are considered.
Currently, the plant employs about 120 people, and operations are expected to officially conclude on July 31, 2025. The facility has an annual packaging capacity of up to 4,000 metric tons of powders, representing less than 1% of the cooperative’s total production.
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