Mengniu's Ningxia dairy factory awarded 'lighthouse' status by World Economic Forum; site reduced operational costs by 32%, delivery lead time by 55% using Tetra Pak technology, including digital systems controlling processing and packaging, filling lines

• Mengniu’s Ningxia dairy factory is one of 22 sites newly awarded ‘lighthouse’ status by the World Economic Forum, joining a community of 172 leading facilities recognised for their its technology-enabled transformation
• One of the world’s most intelligent dairy factories, Ningxia has leveraged cutting-edge Tetra Pak equipment and technology, reducing operational costs by 32% and delivery lead time by 55%

Lausanne, Switzerland, 5 Novemeber 2024 –Mengniu has been awarded ‘lighthouse factory’ certification by the World Economic Forum (WEF) for its world-first fully intelligent dairy factory in Ningxia, China. The site was recognised for its innovation, utilising Tetra Pak’s end-to-end solutions, together with a network of specialists and partners.

WEF praised Mengniu’s implementation of over 30 advanced ‘Fourth Industrial Revolution’ (4IR) use cases. The factory was co-designed by Mengniu and Tetra Pak, utilising Tetra Pak’s digital platform and state-of-the-art production equipment. At the Ningxia site, digital systems control the entire processing and packaging process, monitoring performance in real time and automatically routing to the most suitable equipment.

As a result of these innovations, the factory has reduced operational costs by 32%, delivery lead times by 55% and quality defects by 60%. Mengniu’s plant is also fully automated, overseen by ‘maintenance and operation engineers’ – operators who receive instructions are alerted in real time whenever there is an event that requires their attention. This is designed to maximise efficiency and attract a new generation of digitally literate employees.

The ambition with the Ningxia site was to have the highest annual efficiency of any dairy factory in the world, where its 100 employees would produce over 1 million tonnes of dairy products per year, with a production value of RMB10 billion (€1.3 billion).

Tetra Pak’s tailored blend of state-of-the-art technologies and leading plant integration capabilities contributed to the success of the Mengniu factory. Its technology onsite includes 24 filling lines (nine currently in operation) – among them the Tetra Pak® E3/Speed Hyper, the world’s fastest carton packaging machine – and the digital control room where Mengniu’s operators manage and monitor all manufacturing operations in real time.

Li Pengcheng, Executive President at Mengniu comments: “After over 25 years in the dairy business, Mengniu wanted to bring together its accumulated wealth of manufacturing experience to optimise operations — establishing 100% consistent production and management processes with the help of digitalisation. Together with Tetra Pak and our other partners, we are setting new standards for the future of dairy production.”

Sean Sims, Vice President Automation and Solutions at Tetra Pak, added: “We are thrilled to congratulate Mengniu on receiving the prestigious ‘lighthouse’ certification from the World Economic Forum. As a long-term partner, we are proud to have supported their journey towards greater innovation and sustainability in dairy production. This recognition highlights their dedication to adopting advanced technologies that are shaping the future of the industry in China. We remain committed to working alongside Mengniu, providing cutting-edge solutions that align with their goals and continuing to drive sustainable growth within the dairy sector.”