Lactalis Canada, one of Canada's leading dairy companies, said it will be closing the plant-based beverage operations in Sudbury this coming December.
The plant, located in the old dairy building near Palm Dairy Road and Barrydowne Road, had celebrated the reopening of that plant for producing a plant-based milk-like beverage called Enjoy!, which occurred in June of 2024.
The Sudbury plant reopening occurred shortly after Lactalis was the recipient of $1.4 million in funding from the Northern Ontario Heritage Fund Corporation (NOHFC) as part of a program to boost the agricultural business in Northern Ontario.
"Lactalis Canada has made the difficult decision to close its plant-based operations in Sudbury, Ontario effective December 12, 2025, which will mark our full exit from the plant-based beverage category," the company said in an email response to an inquiry from Sudbury.com.
The Sudbury facility, which was previously a distribution and production centre for Lactalis fluid milk products (formerly Parmalat), opened in 1962 and shut down in 2022 to allow for the conversion of the facility for the production and distribution of Lactalis premium plant-based products, said a previous news release from the company.
"This decision follows a shift in market dynamics and the challenges associated with the broader economic climate, all of which have led to a sustained decline in the plant-based beverage category’s performance," said the company statement. “Unfortunately, continuing operations is no longer financially viable and sustainable business for Lactalis Canada.
"We are incredibly grateful to our employees in Sudbury for their dedication and contributions over the years. We also extend our sincere thanks to the city of Sudbury for its longstanding partnership and support throughout our time in the community," the statement continued.
The email was signed by Sarah Sutton, manager of corporate communications for Lactalis Canada.
"In 2022, Lactalis Canada began renovation to convert the site into a 33,150-square-foot state-of-art plant-based facility. The facility reopened in April 2024 and is now Lactalis Canada’s first dedicated plant-based facility and home to its new plant-based Enjoy! brand — a nutritious and delicious, unsweetened, high-protein line of plant-based beverages now in market. Lactalis Canada looks forward to continuing to play a vital role in the region through its economic and social contribution," said the news release issued on June 29, 2024.
No information was provided on how many employees will be impacted by the shutdown but during the reopening event in 2024, the company said there were 25 people working at the plant.
Len Gillis is a reporter at Sudbury.com.
