A new chapter in Nebraska agriculture began Wednesday as DARI Processing, LLC officially broke ground on the state’s first new dairy processing plant since 1963. The $186.3-million facility will be located on a 40-acre site within the Seward, Neb., Rail Campus and is expected to be fully operational by the first quarter of 2027.
Once complete, the plant will process approximately 1.8 million pounds of milk per day, using aseptic, ultra-high-temperature processing to produce shelf-stable dairy products. These products, which are designed to have up to a 12-month shelf life without refrigeration, are positioned to support markets with limited cold storage access, such as food banks, schools and global export channels.
“This is really just a transformational project for Seward, and really for the county, region and the state,” says Jonathan Jank, president and CEO of the Seward County Chamber and Development Partnership.
DARI Processing, LLC is owned by the Tuls family, longtime Nebraska dairy producers and the largest dairy operators in the state. With this project, the family is taking the next step in vertically integrating their operation and keeping more of Nebraska’s milk in-state.
“Building this plant will help keep 30% of the state’s milk production from being processed elsewhere and creating more jobs here in the state,” says TJ Tuls, CEO of DARI Processing, LLC. “By keeping Nebraska’s milk in Nebraska, we will reduce the amount of miles that trucks haul around milk, reduce fuel usage and reduce the overall carbon footprint.”
He also notes the broader opportunity this facility presents.
“This isn’t just about our family or our farm — it’s about building a sustainable future for Nebraska dairy,” Tuls says. “It’s about creating a better path forward for farmers, families, and the next generation who want to stay on the land.”
While Tuls Dairies will supply a large share of the milk, the plant will also rely on additional producers throughout the region.
“Their existing dairies will supply a good percentage of it, but not all of it,” Jank says. “We think this opens up a big opportunity for farmers in the region, and some may even consider expanding as a result.”
The site itself is also a strategic part of the equation. The Seward Rail Campus has been in development since 2009, and food processing has always been at the top of its target list. The vision is finally becoming a reality.
“At our core, Seward County is agriculture,” Jank says. “We have a lot of great farmers, not just in corn and beans, but also livestock and dairy. This project fits perfectly.”
Jank also emphasizes that local and state-level coordination is what helps get a project like this across the finish line.
“The Tuls wanted to vertically integrate in the market,” Jank says. “They were looking for about a 40-acre site, and we had it for them. Ultimately, we were able to help coordinate the rest of the logistics around extending road and utilities and making sure that everything else fit from a dollars and cents standpoint, to make them profitable here in the community.”
And the timing couldn’t be better. The dairy industry in Nebraska has been seeking greater processing capacity to support in-state milk production, and this facility helps fill that gap.
“There’s a Grow Nebraska Dairy team that’s been working hard to bring processors to the state,” Jank says. “Ultimately, the Tuls family took it upon themselves to become that processor, and now we’re seeing the result.”
The impact of the new facility is expected to ripple through rural communities, offering economic and generational opportunity for family farms.
“This really is a game changer for the dairy industry in our state,” Jank adds. “We’re hoping this facility gives the next generation of farmers a reason to come back to the farm because there’s now a processor close to home.”
Governor Jim Pillen, who attended the groundbreaking event, calls the project a huge win for Nebraska agriculture. The facility is expected to create around 70 new jobs and help keep more value-added production within the state’s borders.
“Nebraskans raise the finest crops and livestock in America,” Pillen says. “Instead of shipping these commodities out of state, we can add value to them right here in Nebraska. I commend Todd and TJ Tuls for constructing a dairy plant to capture the full value of milk from local dairies.”
Jank sees the facility as proof of what’s possible when vision meets partnership.
“Economic development is a team sport,” he says. “None of this happens without a developer willing to invest, but there are also countless partners — community leaders, utility providers, state officials and others — who step up to make this project possible.”
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