Galloway Company to Add $ 5 Million Addition to Increase Production for Growing "New-Age" Beverage Market
The increased production capacity will primarily allow Galloway to meet the growing demand for dairy bases used in the expanding "new age" beverage market.
"Galloway Company is working with a number of strong national accounts that have existing products as well as planned rollouts of new products targeted to the new-age beverage market," said Bob Kime, president. "Our new facility will incorporate proprietary processing equipment that will meet the production demands of this growing market."
Dairy-based beverages that are positioned as a healthy alternative to the soft drink category characterize the new-age beverage market, Kime explained. It includes several drinks within the product lines produced by SoBe, Snapple and Jones Soda.
"These types of products are widely popular in Europe and well on their way to establishing a strong foothold in the U.S. beverage market," he said: "We expect their volume to grow five-fold over the next five years? and account for about 20 percent of our total business. The market category for these beverages is growing at a consistent rate and we will have the capacity to meet that market demand."
The expansion plan has earmarked $3.5 million for the building, with the balance of $1.5 million going for processing equipment. Construction of the 12,000square?foot addition began in November and is expected to add 10 to 15 employees over the next five years to Galloway's current employee base of 60.
In addition to the new-age category, the plant expansion will enable Galloway to compete more heavily in the alcohol-based beverage market for such products as cream liqueur and other dairy- and non-dairy-based spirited beverages. Galloway holds a Distilled Spirits Permit, which allows the company to combine its bases with alcohol at its plant.
Galloway Company is an industry leader in the manufacture of concentrated fluid food ingredients. The company is a nationwide supplier of sweetened condensed milk to leading candy and bakery manufacturers, specialty dairy and non?dairy bases used by leading beverage manufacturers, and high-quality dairy dessert mixes to a broad customer base.