A GERMAN dairy giant has confirmed further details on its planned multi-million euro investment in the production of products in Cornwall.

Ehrmann Cornish Dairy, owned by the Bavarian headquartered family owned business Ehrmann AG, has begun construction on what it calls Project Arcadia - which will involve a €23-million investment that will bring UK production of Ehrmann UK’s dessert range to Cornwall.

The new facility will sit in Glynn Valley, a region of Cornwall known for its strong milk quality, and will join the business’s existing Cornish production site, which is also home to Trewithen Dairy.

Project Arcadia represents a major commitment to the existing region’s dairy ecosystem and industry. Project Arcadia is expected to create 30 new jobs over the next year, while securing more than 200 existing roles and supporting skills development across the current workforce. The investment will also strengthen long-term partnerships with local farmers and drive increased demand for Cornish milk.

To mark the milestone, a shovel-in-the-ground event will take place on February 27 with Anna Gelderd, the MP for South East Cornwall, and Colonel Sir Edward Bolitho KCVO OBE, Lord Lieutenant of Cornwall, in attendance.

Once operational, Project Arcadia will enable Ehrmann’s dessert ranges to be produced in the UK for the first time. By moving production onshore, the project will reduce reliance on imports, cut transport emissions and support long-term growth in the UK dairy market.

The facility will also implement full aseptic technology including aseptic tank handling that follows years of research and development into production. With only a handful of dairies in Europe utilising these systems, Project Arcadia truly marks a huge step in innovation and investment in the UK sector.

The facility will initially require around 10-million litres of milk, providing greater long-term security for local milk suppliers and reinforcing Ehrmann Cornish Dairy’s commitment to sourcing from Cornish farms. Looking ahead, Project Arcadia will also create a platform for future investment, with the potential to generate further employment opportunities for the local community.

On the start of Project Arcadia, Ehrmann Cornish Dairy CEO Johannes Schmid said: “Project Arcadia is a hugely exciting milestone for Ehrmann Cornish Dairy and a statement of our confidence in both Cornwall and the UK dairy industry.

“By bringing production of Ehrmann’s dessert ranges to the UK and delivering extremely innovative manufacturing technology, we are demonstrating not only a significant investment in our business but a long-term commitment to Cornish dairy, local farming and job creation.

“We are proud to begin delivering some of the most advanced technologies in modern dairy manufacturing and are excited to demonstrate to the UK the quality that Cornwall can offer.”

With the dairy producer’s commitment to the environment and local area in mind, all construction has been carefully designed to protect the surrounding landscape while the combination of international expertise with local quality will build a strong and sustainable future for the region’s industry.

Construction completion and start of production is due in December 2026.