Dairy Cooperative Restructures Protein Operations
Darigold, Inc. and Actus Nutrition announced a strategic partnership June 2 that divides operations across two facilities in the Pacific Northwest, positioning both companies to capture growing demand for specialty dairy proteins.
Under the arrangement, Actus will purchase and operate Darigold's milk protein plant in Jerome, Idaho, with Darigold continuing to supply milk from its member-owner farmers. Simultaneously, Darigold will produce and supply high-value whey products to Actus from its Sunnyside, Washington facility under a long-term commercial agreement, which Darigold will continue to own and operate.
The transition of the Jerome facility to Actus is expected to complete by mid-June. No financial terms were disclosed.
Strategic Rationale
"Our partnership with Actus Nutrition allows Darigold to maintain focus on our core business of processing our members' milk and serving our customers here in the Pacific Northwest and around the world, while participating in the growing market for specialty protein ingredients," said Amy Humphreys, President and Chief Executive Officer of Darigold. "This partnership brings specialized expertise that complements our strong capabilities and will deliver long-term value for our member-owners."
Actus Nutrition CEO David Lenzmeier characterized the partnership as a supply-chain efficiency play: "We continue to see strong global demand for high-quality dairy proteins, and this partnership accelerates our ability to meet that demand. The reliability of Darigold's manufacturing operations and the quality of its member-owners' milk make Darigold an excellent partner as we position ourselves to grow with our customers. Together, we are creating a more connected and efficient supply chain that supports innovation and delivers greater value to customers and farmer-owners alike."
Company Background
Darigold is one of the largest dairy cooperatives in the United States, processing milk from hundreds of Pacific Northwest family farms into fluid milk, butter, cheese, and milk and whey proteins. Actus Nutrition, founded in 1945, is a vertically integrated manufacturer of nutritional ingredients for health and wellness products and co-manufacturer for major household brands, with additional operations in livestock feed and pet industries.
Why It Matters
For dairy operators, this deal signals the ongoing consolidation and specialization within protein ingredient manufacturing. By divesting Jerome, Darigold sharpens its focus on commodity and branded consumer products while maintaining farmer milk-supply relationships—a common strategy for regional cooperatives balancing member returns with market exposure. Actus gains scale and supply security in a high-margin specialty proteins segment, while Darigold preserves long-term milk demand from its membership.
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Written by FBM Publications Editors