Glanbia Ingredients Ireland today announced a new dairy plant which will result in 1,600 direct and indirect jobs over the next five years.

A further 450 jobs will be created during the construction phase of the Belview dairy facility, which will be located on the Kilkenny/Waterford border. Construction is set to commence on May 17th and the new facility is expected to begin production in early 2015.

Glanbia said the facility will be capable of processing more than 700 million litres of milk and will produce 100,000 tonnes of dairy powders a year.

The investment is said to be worth €400 million per annum to the rural economy.

Chairman of GIIL Liam Herlihy said the investment was a significant vote of confidence in the future of Glanbia and Ireland’s dairy farmers.

He said the Belview plant would be entirely focused on export markets and would supply a range of nutritional powders to an increasing number of regions including the Middle East, Africa, Central America and Asia.

Glanbia Ingredients Ireland is a joint venture between food company Glanbia and the Glanbia Co-Operative Society.

The business currently employs almost 500 employees and has market bases in Ireland, Germany, US, Dubai and Senegal.

It is currently gearing up for the increase in milk production expected after 2015, with an investment package of over €150 million investment in the new Belview facility in County Kilkenny.