New Zealand co-operative dairy company Westland Milk has chalked out plans to invest around $100m in an infant formula dryer at Hokitika.

Following the consent approval, work on the new dryer will begin in April and the operations at the dryer are scheduled for commencement in August 2015, reports stuff.co.nz.

Commenting on the plan, Westland chief executive Rod Quin was quoted by stuff.co.nz as saying that the nutritional dryer was the next stage in Westland’s growth plan. The company was continuing to develop its capacity as a supplier of high-end nutritional products and relied less on selling bulk ingredients.

"Prospects for the dairy industry worldwide, and in New Zealand in particular, are for continued growth with increased demand, especially from China.

"Westland is well placed to fit with the new regulatory market in China and demand for our nutritionals capacity is already accelerating," added Quin.

Meanwhile, the company is also planning to develop a manufacturing facility to produce milk products at Rolleston.

The Rolleston plant, which is under the planning stage, will manufacture ultra-heat treatment products.

Around 122,000 tonnes of milk products are expected to be produced and sold for about $750m by Westland Milk, during 2013-2014.

Westland Milk produces dairy ingredients for nutritional, food, and beverage industries in New Zealand. It offers nutritionals products, such as nutritional and hydrolysed milk powders for infants, children.