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Gay Lea Foods' Clayson Road Facility (conceptual rendering) (Image Credit: submitted/Gay Lea Foods)

Expansion project will increase availability of cottage cheese for Canadian consumers

Aug 11, 2026 | 2:32 PM

Gay Lea Foods is expanding a facility in Ontario to increase production of high-protein dairy products. 

The cottage cheese market in Canada is experiencing an unprecedented boom, with retail sales surging more than 25 per cent year over year. Once labelled a dated 1970s diet food, the staple has reinvented itself as a premium, high-protein option for Canadian consumers. 

Gay Lea Foods will spend roughly $200 million on its dairy manufacturing facility in Toronto. The increased cottage cheese production will address a national shortage in Canada. 

Gay Lea Foods President and Chief Executive Officer Suzanna Dalrymple said consumption of cottage cheese has grown significantly as Canadians seek nutritious, affordable health and wellness options. 

She said the project reflects the company’s confidence in the future of Canadian dairy. 

“That future will be built on Canadian dairy farms and in modern processing facilities equipped to respond to evolving consumer preferences,” Dalrymple said.  

The expansion will introduce advanced processing technology and modern manufacturing capabilities designed to increase production capacity, strengthen productivity and enhance operational flexibility.  

The expansion, to be complete in 2028, will create up to 75 new positions at the Clayson facility.  

The project marks the first major milestone in Gay Lea Foods’ approximately $450-million Network for Growth strategy, a multi-year investment to strengthen and modernize the co-operative’s Canadian manufacturing network, meet consumer demand and create long-term value for its members. 

alice.mcfarlane@pattisonmedia.com