Upstate Niagara Cooperative Expands Lockport Facility

New dairy processing facility with modern equipment in Lockport, NY.

Lockport, October 6, 2025

Upstate Niagara Cooperative has announced a $50 million expansion of its Lockport facility, increasing milk processing capacity by 30% and creating 100 new jobs. This project will enhance production capabilities for cheese and fluid milk products and is supported by affordable energy from NYPA. The expansion aims to bolster the local dairy industry, benefiting the economy of Western New York and sustaining family farms in the region.

Lockport, New York

In a significant development for the local dairy industry, Upstate Niagara Cooperative has launched a $50 million expansion of its facility in Lockport, New York. This project, announced in the past 48 hours, will increase milk processing capacity by 30% and create 100 new jobs, providing a substantial economic lift to Western New York. The initiative is supported by affordable energy from the New York Power Authority (NYPA), highlighting a strategic partnership aimed at bolstering regional agriculture.

The expansion focuses on enhancing production capabilities for cheese and fluid milk products, which are distributed nationally. By upgrading the Lockport plant, Upstate Niagara aims to meet growing demand while maintaining competitive pricing. This move comes at a time when the dairy sector faces challenges from fluctuating market conditions, making the investment a timely boost for efficiency and output.

Project Details and Economic Impact

The $50 million investment will fund advanced processing equipment and infrastructure improvements at the Lockport facility. Once completed, the plant’s capacity will rise by 30%, allowing for greater volumes of milk to be handled daily. This upgrade is expected to streamline operations, reduce waste, and support sustainable practices in dairy production.

Job creation is a key component, with 100 new positions ranging from production roles to technical and managerial staff. These opportunities will benefit the local workforce in Niagara County and surrounding areas, contributing to reduced unemployment and increased household incomes. The project’s ripple effects are anticipated to extend to suppliers, transporters, and related businesses in the agricultural supply chain.

Role of NYPA in Supporting Growth

NYPA’s involvement provides low-cost power solutions tailored to industrial needs, ensuring the expansion remains financially viable. This support aligns with broader efforts to harness affordable energy for economic development in upstate New York. By prioritizing energy efficiency, the project not only cuts operational costs but also positions the cooperative to adapt to future environmental regulations.

Broader Context for Western New York’s Dairy Sector

Upstate Niagara Cooperative, a farmer-owned organization, plays a vital role in New York’s dairy landscape, processing milk from hundreds of local farms. The Lockport facility has long been a cornerstone of this operation, handling everything from raw milk intake to finished products ready for market. This expansion builds on recent investments in the region, reinforcing Buffalo and Niagara’s status as hubs for food processing.

Western New York’s agricultural economy relies heavily on dairy, which generates billions in revenue annually. Initiatives like this one help sustain family farms, preserve rural communities, and keep production competitive against larger national players. Local leaders view the project as a model for how public-private partnerships can drive job growth and innovation in traditional industries.

The announcement arrives amid a busy period for Buffalo-area business news, including developments in real estate and corporate leadership changes. However, the Upstate Niagara expansion stands out for its direct impact on agriculture, a sector that employs thousands and supports the region’s food security. As construction progresses, updates on timelines and hiring will be closely watched by stakeholders.

This project exemplifies how targeted investments can yield lasting benefits, from immediate job gains to long-term economic stability. For the dairy farmers supplying Upstate Niagara, it means stronger markets and reliable outlets for their products. Overall, the expansion reinforces the resilience of New York’s agricultural backbone.

FAQ

What is the Upstate Niagara Cooperative expanding?

Upstate Niagara Cooperative is expanding its Lockport facility.

How much is the expansion project costing?

The expansion is a $50 million project.

How many new jobs will the project create?

The project will create 100 new jobs.

What is the increase in milk processing capacity?

The milk processing capacity will increase by 30%.

Who is supporting the expansion with energy?

The New York Power Authority (NYPA) is supporting the expansion with affordable energy.

What products will the expanded facility focus on?

The expanded facility will enhance production of cheese and fluid milk products for national distribution.

Why is this expansion important for the region?

This initiative underscores NYPA’s commitment to powering regional economic growth through affordable energy and serves as a boost for Western New York’s agricultural economy.

Key Features of the Upstate Niagara Expansion

Feature Details
Project Cost $50 million
New Jobs Created 100
Capacity Increase 30% for milk processing
Energy Support Affordable energy from NYPA
Products Enhanced Cheese and fluid milk for national distribution
Regional Impact Boost to Western New York’s agricultural economy

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