USDA Invests $15.5 Million in Wisconsin's Only Cottage Cheese Producer

## $15.5 Million Investment to Modernize Historic Wisconsin Dairy Cooperative USDA Rural Development has announced a major investment to support the growth of **Westby Cooperative Creamery**, a farmer-owned dairy cooperative in Vernon County, Wisconsin. The cooperative, known as the state's only producer of cottage cheese, has received nearly **$15.5 million** through the [Rural Development Business and Industry Guaranteed Loan program](https://www.rd.usda.gov/programs-services/business-programs/business-industry-loan-guarantees). The loan, offered in partnership with Security Financial Bank, will help the cooperative expand and modernize its manufacturing facility to meet rising customer demand for cottage cheese products. ## Project Goals and Impact The main objectives of this investment include: - **Modernizing aging equipment** - Replacing 100-year-old open-vat cottage cheese production systems - **Increasing production capacity** - Meeting surging consumer demand for cottage cheese - **Improving food safety** - Implementing HEPA-filtered air environments and enclosed automated systems - **Enhancing worker safety** - Reducing manual labor and physical strain on employees - **Supporting 150 jobs** in the rural community According to USDA Rural Development leaders, this investment helps build rural prosperity. Programs like the Business and Industry Guaranteed Loan support cooperatives, farmers, and rural economies by helping businesses improve their operations. ## Key Facility Improvements The upgraded facility includes several significant improvements: | Upgrade | Details | |---------|---------| | **Production Time** | Reduced from 16 hours to 8 hours | | **Yield Increase** | 10-15% more cottage cheese from the same milk volume | | **New Enclosed Vats** | Four cottage cheese vats producing up to 5,700 lbs per run each | | **Cream Storage** | Two 10,000-gallon cream tanks | | **Milk Storage** | New 30,000-gallon Wisconsin-made milk silo | | **Sanitation** | Automated ingredient, testing, and sanitation systems | | **Air Quality** | HEPA-filtered environments for improved product safety | ## About Westby Cooperative Creamery Westby Cooperative Creamery has been operating for over **122 years** and is supplied by **146 member-owner dairy farms**, many of which are 4th and 5th generation operations. Beyond cottage cheese, the cooperative produces sour cream, dips, butter, block cheese, parmesan, cheese curds, and string cheese. ## Significance During International Year of Cooperatives This investment comes during the **United Nations' 2025 International Year of Cooperatives**, which celebrates how cooperatives support sustainable development and community growth. The expansion of Westby Cooperative Creamery demonstrates how cooperatives continue to strengthen rural areas through shared ownership and long-term planning. --- ## Recommended Reading - [USDA Business and Industry Loan Guarantees Program](https://www.rd.usda.gov/programs-services/business-programs/business-industry-loan-guarantees) - Learn about the USDA program that funded this expansion - [Westby Cooperative Creamery](https://www.westbycreamery.com/) - Official website of Wisconsin's only cottage cheese manufacturer - [USDA Rural Development Wisconsin](https://www.rd.usda.gov/wi) - Wisconsin USDA Rural Development programs and resources - [Wisconsin Cheese Makers Association](https://www.wischeesemakersassn.org/) - Industry association supporting Wisconsin dairy processors --- *Source: [Wisconsin Ag Connection](https://wisconsinagconnection.com/news/usda-funds-growth-for-wisconsin-dairy-plant), USDA Rural Development*