Tetra Pak and Vinamilk, a joint-stock company of Vietnam Dairy Products, have opened the country’s largest liquid milk processing and packaging plant with an investment of $110m.

Located in Binh Duong province of southern Vietnam, the new plant – Vietnam Milk Factory – can process 400 million litres of milk per year, which will be doubled in the near future.

Equipped with modern technology in automation and integration by Sweden’s Tetra Pak, the new plant is will offer quality products.

In addition, it is also expected to help stabilise milk prices in the country as packaging and finished products are handled by laser-guided vehicles (LGV) systems.

The factory features earthquake-resistant and fully automatic smart warehouse supplied by German firm Schafer.

Vinamilk chairman and general director Mai Kieu Lien said: "Vinamilk’s mission is to provide world-class quality milk products at an affordable price. This new plant has laid solid foundation for Vinamilk to achieve our goals to become one of the world’s top 50 dairies with over $3billion revenues by 2017."

Tetra Pak Vietnam managing director Bert Jan Post said that the Vietnam Milk Factory is by far the most advanced plant in automation and integration that Tetra Pak has ever built.

"And thanks to the Tetra PlantMaster system, all of the individual machines are working together as one to deliver optimal performance, with factory-wide integration ensuring high levels of efficiency and uncompromising food safety," Jan Post added.

With 8,000 dairy cows and five large-scale farms, Vinamilk produces 90 tonnes of milk per day.

It has contracts with more than 5,000 dairy farming households in the country.

The launch of new plant follows the opening of new baby-formula plant in April 2013.