Bel Group has broken ground on a $200 million expansion at its plant in Brookings, S.D., that will double production capacity for Mini Babybel cheese snacks and create about 150 new jobs.
According to the company, the project will increase production at the Brookings facility from about 1.6 million Babybel cheeses per day to more than 3 million once the expansion is complete.
Peter McGuinness, CEO of Bel Group’s North American division, says the investment is aimed at keeping pace with growing demand for convenient, protein-rich snacks in the U.S., which accounts for roughly one-third of the company’s sales.
“If we did not act now, we would be squandering growth and running up against capacity constraints,” McGuinness says.
Consumer interest in higher-protein foods has increased in recent years, a trend companies say has been accelerated by the rise of GLP-1 weight-loss medications such as Ozempic and Mounjaro.
“The product delivers on GLP-1 (needs),” McGuinness says. “We’re getting a definite impact from that.”
Bel sources milk for the Brookings facility from several dairy farms in the surrounding region. Company officials say the expansion will help ensure supply keeps pace with growing consumer demand for dairy-based snack products.
The company operates four manufacturing plants in the U.S. In addition to the Brookings project, Bel recently completed a $140 million expansion at its plant in Nampa, Idaho, which produces GoGo squeeZ yogurt products. McGuinness says the company is focused on growing internally but may eye acquisitions in the future if demand continues to rise.
