Chobani to invest over $100M to open new facility in Idaho

NORWICH – Agro Farma, makers of Chobani, America’s #1 selling yogurt brand, announced plans Thursday to open a second domestic manufacturing plant as part of the company’s continued strategic growth initiative. Chobani plans to invest over $100 million to build a state-of-the-art, high capacity production facility housed on 200 acres of agricultural and industrial land in Twin Falls, Idaho.
“We visited numerous possible sites over the past several months and met a lot of great people along the way.” said Hamdi Ulukaya, CEO and founder of Chobani. “It was a hard decision to make, but in the end, we chose Twin Falls due to its abundant milk supply, skilled labor force and tight knit local community. We’re looking forward to starting the next chapter of the Chobani story here in Idaho’s Magic Valley.”
Agro Farma’s new Twin Falls site will not impact plans to move forward with its previously announced expansion for the company’s landmark South Edmeston manufacturing plant, according to Agro Farma Communications Coordinator Kelly LaCorte.
Chobani’s “Nothing but Good” philosophy, which includes supporting local farmers, job creation, and community outreach, will be instrumental at its new site as the company begins to form roots in the Twin Falls community. Expected to be operational in 2012, the opening of the new plant will create around 400 new jobs.
Agro Farma officials joined state and local leaders in Idaho Thursday to announce the plans. Ulukaya said the decision to move to the Magic Valley was tied to the region’s milk production capacity and trainable workforce. Idaho is the nation’s third leading dairy producer, with the majority of those dairy farms centered outside cities like Twin Falls and Jerome.
“You will find you and your staff and your company made a very wise decision because Idaho is a place where there is unlimited potential for growth,” Gov. C.L. “Butch” Otter told Agro Farma officials during the official announcement.
 “We anticipate Chobani’s planned investment to result in an additional $200 million in regional sales. Between construction activities, employment at the plant and the sourcing of local supplies like milk, there’s no question that the economic effect of Chobani’s new site will run deep throughout Southern Idaho, benefiting family farms as well as our dairy and construction industries.” said Otter. “We’re thrilled Chobani chose Twin Falls as their second home.”
The Twin Falls Urban Renewal Agency and city council members approved an agreement earlier Thursday helping pave the way for the new facility.
Under terms of the deal, about $4.3 million in urban renewal money will go toward acquiring land, and almost $13 million more will go toward infrastructure including water lines, wastewater improvements and utilities. The city will chip in $6.75 million in tax dollars for wastewater pretreatment and sewer line improvements.
The plan is to have the facility open sometime next year, with wages for workers starting at $14 per hour.
Company officials said Twin Falls was among sites in Nevada and California that were also considered as it sought a location for a production site in the western half of the country. Headquartered in Norwich, Agro Farma is New York’s largest dairy manufacturer, and it launched the Chobani brand in 2007.
Chobani is currently the nation’s top selling Greek yogurt, a thicker style yogurt that has twice the protein of traditional yogurts, all natural ingredients, and hormone-free milk.
The Associated Press contributed to this report.

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