Gay Lea Foods Co-operative Limited is investing more than $200 million to expand its Clayson Road dairy manufacturing facility in Toronto, a project aimed at increasing production of high-protein dairy products and helping address Canada's cottage cheese shortage.
The expansion is the first major project under the co-operative's approximately $450 million Network for Growth strategy, a multiyear initiative to modernize and strengthen its Canadian manufacturing network. Gay Lea says the investment is designed to position the company to meet growing consumer demand while creating long-term value for its farmer-members.
Demand for cottage cheese has risen sharply as consumers seek protein-rich, affordable food options that support health and wellness trends. The expanded facility will increase production capacity across Gay Lea's portfolio of cultured and high-protein dairy products, including cottage cheese.
"This investment reflects our confidence in the future of Canadian dairy and in Gay Lea Foods' role in helping shape it," says Suzanna Dalrymple, President and CEO of Gay Lea Foods. "That future will be built on Canadian dairy farms and in modern processing facilities equipped to respond to evolving consumer preferences."
The project will introduce advanced processing technology and upgraded manufacturing capabilities intended to improve production capacity, operational flexibility, and productivity. Gay Lea says the investment will also strengthen its processing network to support future growth.
Construction is expected to be completed in 2028. Once operational, the expansion is expected to create up to 75 new jobs at the Toronto facility.
"For more than 65 years, our farmer-members have invested to build a stronger future for Canadian dairy," says Andrew Henderson, Chair of the Gay Lea Foods board of directors. "Expanding a facility that transforms Canadian milk into a product sold exclusively to Canadian consumers is a natural extension of our co-operative's legacy."
Founded in 1958, Gay Lea Foods is a Canadian dairy cooperative owned by approximately 1,200 dairy farmers in Ontario and Manitoba. The company markets dairy products and ingredients under brands including Gay Lea, Nordica, Salerno, Ivanhoe, and Bothwell Cheese.
