Yogurt / Ice cream /

Pasteurised Milk
a beginners guide
to processing

Published in association with the

Society of Dairy Technology

Contents
Introduction and market overview

Section 1 - Technical requirements

Section 2 - Yogurt

2.1. Summary of business plan for Yogurt

2.2. Outline manufacture Stirred Yogurt

2.3. Yogurt process flow

2.4. Capital and operating costs

2.5. Yogurt production area outline plan

10

Section 3 - Ice Cream

11

3.1. Summary of business plan for Ice Cream

11

3.2. Outline manufacture Ice Cream

11

3.3. Ice Cream process flow

13

3.4. Capital and operating costs

14

3.5. Ice Cream production area outline plan

15

Section 4 Pasteurised milk

16

4.1. Summary of business plan for Pasteurised milk

16

4.2. Outline manufacture - Pasteurised milk

16

4.3. Pasteurised milk process flow

18

4.4. Capital and operating costs

19

4.5. Milk processing area outline plan

20

Section 5 Appendices

21

This booklet and the information within are intended as a guide only. Please seek detailed support from your accountant, bank, legal advisor
or other specialist support organisations.
A list of useful contacts can be found in Section 6 of the DairyCo publication On-farm processing a beginners guide.
Dairy UK has developed a comprehensive guide detailing information on where to source finance, products, training and knowledge for
innovation that can be viewed at www.dairyukinfohub.com.
The Society of Dairy Technology can be contacted via their web site www.sdt.org

Introduction and market overview

This booklet is designed to give an overview of the requirements for the capital and cash flow, and some
recipes, for the manufacture of yogurt, ice cream and milk.
Where costs are quoted these are as a guide only and due to the nature of each project being slightly
different, special consideration should be given to the size and suitability of water, electricity and
drainage services.
Dairy product manufacturing offers a significant opportunity to achieve better returns for the milk
producer and with it a more secure future. However, it is hard physical work and demands continuous
attention from the maker.
Any dairy farmer contemplating these areas of diversification should understand they are not easy options.
There has been significant growth in the areas of luxury and indulgent products. It is unlikely any
farm-based diversification project will be able to compete in the lower end of the market; the major
opportunity lies with the added value, luxury products, with the opportunity to exploit provenance as
part of the brand positioning.
The liquid milk market is generally split 60% semi skimmed, 30% whole milk and 10% skimmed milk.
Doorstep sales continue to decline unless being specifically developed as more of a service. These often
offer other products or local, traceable, farm fresh milks. Branded milks are still a large opportunity
but must have a genuine unique selling point (USP) and not just a label. Added value speciality milks
such as milk enriched with Omega 3 remain a significant opportunity and growth sector.
Yogurt / Ice Cream and Pasteurised milk processing use similar equipment and have in general terms less
technological demands and provide faster cash turn around with significantly less working capital
requirements than cheese. For this reason these products have been grouped together.
This booklet aims to provide a realistic guide to minimising some of the risks involved in investing in
yogurt, ice cream and milk processing. It sets out some of the steps needed to ensure production of the
right product, at the right quality and marketed to the right people.
The yogurt and pot dessert markets are considered a strong category and one in which consumers
demand choice, quality and innovation. Sales have been boosted bringing innovation and new entrants
together with significant marketing spend by the major manufacturers of branded produce with year on
year growth.
The ice cream market can be clearly divided into the commodity value sector and the premium, added
value sector dominated by major brands and speciality products.

Section 1 - Technical requirements - Hazard

Analysis Critical Control Point (HACCP)
HACCP or equivalent system for safe dairy products production is required by law. Specialist advice will be
required in the preparation of this part of the project.
Introduction
Having deciding to manufacture dairy products, the next step is to prepare the HACCP system for the type
of product to be manufactured.
The preparation of the HACCP documentation assists in the design of the production premises to ensure that
they are safe and appropriate for the products to be made.
Some of the key HACCP areas to be considered are given below. This is not meant to be a comprehensive
HACCP description for the manufacture of dairy products, but a general overview.
Purpose
The purpose of a HACCP system is to ensure the production of safe food. Potential hazards to food safety
relating to all aspects of the manufacturing process are identified as Critical Control Points (CCPs), and
suitable records must be produced to prove that they are controlled.
Some benefits of HACCP
Preventative system
Systematic approach
Assists due diligence defence
Facilitates verification activities
Demonstrates management commitment
The HACCP system
The first task is to address the HACCP pre-requisites, and these are:
Food manufacturing practice (hygiene)
Good laboratory practice
Calibration
Pest management systems
Incident and recall management systems
Preventive maintenance programmes
Training
Supplier quality assurance
The next task is to identify the process / product hazards, and document the CCPs on a process flow diagram.

Hazard analysis overview

Good personal hygiene
Correct cleaning and disinfection
Adequate pest control
Trained and aware operatives
Key process controls
Pasteurisation / cooling
Correct control of the manufacturing / filling process
Correct storage temperature
Examples of hazards and recommended food safety principles to consider in relation to milk production
Hazard

Source / Cause

Control / Evidence

Raw milk
contamination by
harmful bacteria /
other substances.

Poor animal husbandry

(eg, animal disease, udder
infections).
Milk from treated animals
not segregated.
Contaminated animal feed.

Herd health and veterinary records.

Medicine / movements book. Mastitis
records.
Milking machine test reports.
Feed supplier assurances.
Good herd records and practices.
Periodic raw milk antibiotic tests.

Growth of harmful
bacteria in milk after
pasteurisation.

Inadequate pasteurisation.
Post pasteurisation
contamination.
Dirty plant and equipment.
Poor manufacturing
practice.
Poor personal hygiene.

Pasteurisation records.
Calibration certificates.
Plant and equipment cleaning and
inspection records.
Laboratory results.
Operator training records.
Hygiene training records.

There are a number of useful sources for HACCP and good manufacturing process guides. For example:
Dairy UK website (Technical Guidance)
Basic Food Hygiene Level 2 & 3, and HACCP, and Hygiene in Focus series produced by the Society of Food
Hygiene and Technology (SOFHT)

Section 2 - Yogurt
2.1 Summary of business plan for Yogurt case study
A real on farm operation - an organic farm - was chosen for this exercise to produce a case study. This
farm keeps about 110 cows, producing around 3000 litres of milk per day in the summer. The farm
commenced on-farm production of clotted cream in 2004. The clotted cream business is now well
established but created a large volume of skimmed milk. Initially the skim fraction was used as animal feed
on the farm and any left over had to be discarded. To make use of some of the skim fraction, a small
production facility was set up to produce yogurt. This facility is capable of producing yogurt regularly, on
average three to four days per week, with a maximum capacity of 100 litres per batch per day.
The equipment considered in this production facility is as follows:
Milk reception tank
100 litres batch heater, incubator and cooler
Milk separator
Yogurt pump
Pot filling and sealing unit
Two yogurt chillers
Large walk in chilled store
Hot water boiler and air compressor
When considering an appropriate building and equipment it is essential to involve the Environmental
Health Officer (EHO), and Planning and Building Regulations Control at the earliest stages. It is also
strongly recommended that an appropriately qualified and experienced technology consultant be used to
progress planning permission and building regulation approval, and for the preparation of a robust
HACCP system. Disposal of waste also requires specialist advice as it will probably be classed as a
Product of Animal Origin (POA) and needs to be handled carefully and correctly.

2.2 Outline manufacture Stirred Yogurt

Note: Rigorous hygiene standards must be observed at all stages of the process.
2.2.1 Milk for Yogurt production
The highest quality milk should be used for yogurt production as poor bacteriological quality inhibits the
growth of the yogurt culture during incubation.
Residues of penicillin and cleaning and sterilising solutions also impede culture growth.
For low-fat or fat-free yogurt production the milk fat content of the milk is standardised by separating off
some, or all of the fat.
A normal (full-fat) yogurt has butterfat content greater than 3%. The fat content of a low-fat yogurt is
greater than 1.5%, and for a fat-free yogurt about 0.1%.
2.2.2 Ingredients addition
Dry ingredients, skimmed milk powder, sugar, stabilisers and emulsifiers, are weighed and added to a
measured volume of milk in the manufacturing tank according to the recipe to produce the base mixture.

Skimmed milk powder is used to increase the total solids content of the milk to produce a firmer and more
stable set when incubated.
Stabilisers, gelatine and pectin for example, increase the viscosity of the product and help to minimise the
risk of whey separation in the finished yogurt.
2.2.3 Stirring / heating
The yogurt base mixture is heated to ~ 60 to 70C while continuously being stirred to dissolve the ingredients.
2.2.4 High shear mixing
The yogurt base mixture is thoroughly blended with a high shear mixer.
2.2.5 Homogenisation
The mixture is passed through a homogeniser to break the milk fat globules into smaller sizes and aid even
distribution throughout the mix. This process improves the stability and consistency of the yogurt by
preventing fat separation.
2.2.6 Pasteurisation / cooling
The yogurt base mixture is batch pasteurised at 90C for 10 - 15 minutes then cooled to 35C.
This heat treatment provides a clean medium for culture growth and also improves consistency by
denaturing the whey proteins.
2.2.7 Culture addition
A culture of harmless micro-organisms, which converts the milk sugar, lactose, into lactic acid, is added to the
mixture and stirred. The yogurt can be filled at this stage and incubated in the pot if set yogurt is required.
2.2.8 Incubation
The yogurt mixture is incubated until the required acidity has been reached.
Incubation temperatures and acidities may vary depending on cultures used and final product requirement.
2.2.9 Cooling and flavour addition
The incubated yogurt mixture is cooled to ~ 12 - 15C to retard any further increase in acidity. Colours,
flavours, fruit etc. are added and mixed as required by the recipe.
2.2.10 Filling
The finished yogurt is filled into pots and lids and labels applied.
2.2.11 Storage / testing
The finished product is transferred to a cold store and cooled to below 4C ready for despatch and sale.
Product testing for compliance with legal requirements is carried out at this stage.

2.3 Yogurt process flow

Ingredients addition
Milk
Skimmed milk powder
Sugar
Stabilisers
Emulsifiers

Manufacturing tank

Stirring / heating (60 - 70C)

High shear mixing

Homogenisation

Pasteurisation (90C for 10 - 15 min)

Cooling (35C)
Culture addition
Incubation

Cooling (~10 - 15C)

Colour / flavour addition
Filling / lid label application

Cooling (below 4C)

Storage / testing

2.4 Capital and operating costs for yogurt manufacture

The costing in this section was based on the procedure used for set yogurt manufacture with a daily
production capacity of 100 litres of skimmed milk. The farm is a registered organic milk production
farm and therefore the price used for costing reflects the prevailing ex-farm price for organic milk.
The capital investment required for start-up of on-farm production is as follows: (See appendix 1)
Equipment, mostly reused

18,600

Or alternatively use all new equipment

38,350

Building premises, 7m x 3.5m food process area

30,625

Table 2.1 Cost of production of organic yogurt

Item

Costs per day (pence)

Using reused equipment

Using new equipment

Daily production costs

Processing

234

234

Labour

3000

3000

Ingredients

3077

3077

Equipment

1488

2192

490

490

540

602

Product delivery

1000

1000

Building repairs

123

123

Return on capital

297

329

Return on working capital

571

663

Product storage

250

250

11070

11960

110.7

119.6

Sub total to produce 500ml

55.4

59.8

Packaging cost per 500ml

14.2

14.2

Buildings
Daily admin and other running costs
Admin and maintenance

Sub total excluding packaging

Sub total to produce 1 litre

Total cost before profit

69.6

74.0

Profits at 20%

13.9

14.8

Ex-farm cost per 500ml

83.5

88.8

Note 1: Capital costs for equipment (new and second-hand) will depend on availability.
Note 2: The prevailing milk price in this illustration was 28 ppl.
Note 3: The costs for other packaging sizes can be evaluated by adding the cost of packing with the processed product.
For example, cost of processed product for 200ml is 22.2p from the above table. The cost of plastic container and foil lid
would be about 9p. Therefore, the total cost before profit would be 31.2p.
Note 4: No two enterprises will be able to cost products similarly. Producers will need to carry out their own detailed costings.

Step Over Bench

Area to remove
outside clothing
and footwear.
Sit on bench
swing legs over
and put dairy
protective
clothing and
footwear on.

Boiler

Mix Tank

Shear

Hand
Wash Sink

Drain

Wash
Sink

Chilled Water Unit

Drain

Drainer

Drain

Rinse
Sink

Drain

Incubation Tank
(Optional)

Hand
Wash Sink

Drain

Drainer

Air Compressor

Pasteuriser
(Batch)

Raw Material Store (Ingredients)

Drain

Incubation Tank
(Optional)

Drain

Rinse
Sink

Filling
Machine

Drain

Wash
Sink

Yogurt Additions Area

Drainer

Packaging Store

Please Note: Not to Scale

Always consult the Local Environmental Health Officer (EHO) and Planning and Building Regulations departments at all stages.

Chemical Store

Toilet (with hand wash sink)

Protective Clothing

Personal Lockers

Hand
Wash Sink

Covered Unloading Area

Homogoniser

Fig. 2.1

Hose

2.5 Yogurt production area outline plan

Hose

10
Drain

Drainer

Cold Store
Compressor Room

Cold Store 4C

Covered loading Area

Section 3 Ice Cream

3.1 Summary of business plan for Ice Cream case study
The calculations for this study are based on a pilot facility used for ice cream production for industrial training
courses, students projects and for sales via an on-site shop. The daily production capacity is 100 litres using
batch preparation method. The equipment required for ice cream making is as follows:
Raw milk storage tank
100 litre jacketed tank for product mixing and heating
Homogeniser
100 litre jacketed tank for cooling and storage of ice cream mix
Continuous ice cream freezer
Tub filler
Hot water boiler and air compressor
When considering an appropriate building and equipment it is essential to involve the Environmental Health
Officer (EHO) and Planning and Building Regulations Control at the earliest stages. It is also strongly
recommended that an appropriately qualified and experienced technology consultant be used to progress
planning permission and building regulation approval, and for the preparation of a robust HACCP system.
Note 1: There are many different styles and types of ice cream for example: standard soft scoop, Italian, and
frozen yogurt.
Note 2: This example is based on premium ice cream from quality ingredients and whole milk; different
technologies are used to produce different ice creams.
Specialist advice should be taken from ingredients suppliers, equipment manufacturers, specialist consultants or
organisations such as the Ice Cream Alliance.

3.2 Outline manufacture Ice Cream

Note: Rigorous hygiene standards must be observed at all stages of the process.
3.2.1 Ingredients addition
Dry ingredients, skimmed milk powder, sugar, stabilisers and emulsifiers, are weighed and added to a measured
volume of milk in the manufacturing tank according to the recipe to produce the base mixture.
Skimmed milk powder is used to increase the total solids content of the milk.
Stabilisers and emulsifiers improve the viscosity and texture of the finished product by binding in water molecules
and assisting emulsification of the mix.
3.2.2 Stirring / heating
The ice cream base mixture is heated to ~ 60 to 70C while continuously being stirred to dissolve the ingredients.
3.2.3 High shear mixing
A high shear mixer is used to thoroughly blend the mixture.

11

3.2.4 Homogenisation
The mixture is passed through a homogeniser to break the milk fat globules into smaller sizes and aid even
distribution throughout the mix. The correct combination of temperature and homogenisation pressure is
important in helping to determine the consistency of the finished product.
3.2.5 Pasteurisation / cooling
The homogeneous ice cream base mixture is gently agitated during batch pasteurisation at 66C for minimum
30 minutes or 72C for minimum 10 minutes then cooled to 7C within 90 minutes.
3.2.6 Ageing / cooling
The mixture is gently stirred and aged for between four and 12 hours then cooled further to below 5C.
During the ageing process the fat crystallises and the protein and stabilisers bind water to improve the
consistency of the finished ice cream.
3.2.7 Holding / flavour addition
The incubated ice cream mixture is held and colours, flavours, fruit etc added and mixed as required by the recipe.
3.2.8 Freezing / filling
The mixture is frozen in a continuous ice cream freezer, which whips air into the mixture and disperses the
water content in the form of small ice crystals. The finished ice cream is then filled into tubs or containers,
and lids and labels applied.
3.2.9 Deep-freeze storage
The finished product is transferred to a freezer at -18C maximum in preparation for despatch and sale.
Product testing for compliance with legal requirements is carried out at this stage.

12

2.3 Ice Cream process flow

Ingredients addition
Milk
Skimmed milk powder
Sugar
Stabilisers
Emulsifiers

Manufacturing tank

Stirring / heating (60 - 70C)

High shear mixing

Homogenisation

Pasteurisation (eg, 60C for 30 min)

Cooling (7C)

Ageing (~4 to 12 hours)

Cooling (below 5C)

Holding
Colour / flavour addition
Freezing / filling
Note: Different types /
styles of ice cream use
different types of
ingredients and recipe
timings. Please follow
your ingredient suppliers
recommendations

Lid / label application

Deep-freeze storage / testing

13

3.4 Capital and operating costs

The system for ice cream making was a batch method of maximum capacity 100 litres. A standard recipe was
used for calculation of the ingredients cost using milk, cream, sugar, skimmed milk powder and emulsifier /
stabiliser.
The capital investments required are as follows: (See appendix 2)
Capital required for equipment, using second-hand equipment

25,600

Or alternatively using new equipment

75,600

Capital for building premises, 7m x 3m

16,150

Table 3 - Cost of production of ice cream

Item

Costs per day (pence)

Using reused equipment
Using new equipment

Daily production costs

Processing

404

404

Labour

8000

8000

Ingredients

4903

4903

Equipment

1584

2520

431

431

769

2015

Product delivery

1000

1000

Building repairs

65

65

Buildings
Daily admin and other running costs
Admin and maintenance

Return on capital

321

443

Return on working capital

1454

1565

Product storage

1200

1200

20131

22546

176.6

197.8

12.4

13.4

7.1

7.1

19.5

20.6

3.9

4.1

23.4

24.70

Sub total excluding packaging

Sub total to produce 1 litre
Sub total to produce 70g ice cream
Packaging cost per 70g ice cream
Total cost before profit
Profits at 20%
Ex-farm cost per 70g ice cream
(typical pot size)

Note 1: The costs of various other sizes of packed ice cream can be calculated from Table 3 Cost of production of ice cream.
For example, 50g of processed and frozen ice cream cost 8.8p and the packaging costs about 5.0p. This makes the total cost
13.8p before profits.
With this particular product the volume of the final ice cream is larger due to incorporation of air. Therefore, a 50g of ice cream
occupies a volume of 100ml at 100% overrun. That means the container size should be approximately 110ml to fill 50g of ice cream.
Note 2: In this illustration the milk cost was 18ppl.
Note 3: These costings are a guide only. The availability and price of equipment will vary depending on the area and time.

14

15

Step Over Bench

Area to remove
outside clothing
and footwear.
Sit on bench
swing legs over
and put dairy
protective
clothing and
footwear on.

Boiler

Mix Tank

Shear

Hand
Wash Sink

Cold Store
Compressor

Drain

Drain

Wash
Sink

Hand
Wash Sink

Drain

Drainer

Air Compressor

Pasteuriser
(Batch)

Drainer

Raw Material Cold Store

4C (Ingredients)

Chilled Water Unit

Drain

Raw Material Store

(Ingredients)

Homogoniser

Ageing
Tank

Drain

Drain

Drain

Drainer

Rinse
Sink

Ice Cream
Freezer

Drain

Wash
Sink

Packaging Store

Covered
Unloading Area

Please Note: Not to scale

Always consult your Local Environmental Health Officer (EHO) Planning and Building Regulations at all stages.
Many production sites produce high quality ice cream with a simplified version of the adove.

Chemical Store

Toilet (with hand wash sink)

Protective Clothing

Personal Lockers

Hand
Wash Sink

Covered Unloading Area

Hose

Fig. 3.1

Hose

3.5 Ice cream production area outline plan

Homogoniser

Drain

Drainer

Freezer Store
Compressor Room

FreezerStore -10C

Covered loading Area

Section 4 Pasteurised milk

4.1 Summary of business plan - Milk pasteurisation and bottling
This example of a farm in South Wales shows milk as the dairy product for on-farm production. The farm keeps
about 100 cows and the daily milk yield in the summer is about 3000 litres.
Previously farm milk was sold to a UK milk co-operative for processing. The opportunity was established to sell
pasteurised bottled milk. It was necessary to build a new dairy to facilitate the processing and filling of milk.
An initial production level of about 500 litres per day was considered satisfactory for these calculations.
The equipment considered for this production is as follows:
Milk reception tank
Continuous milk pasteuriser at 500l/hr
Milk separator at 500l/hr
Homogeniser
Pasteuriser milk storage tank
Poly bottle filler
Chilled store
Batch cream pasteuriser
Hot water boiler and air compressor
When considering an appropriate building and equipment it is essential to involve the Environmental Health
Officer (EHO), and Planning and Building Regulations Control at the earliest stages. It is also strongly
recommended that an appropriately qualified and experienced technology consultant be used to progress
planning permission and building regulation approval, and for the preparation of a robust HACCP system.

4.2 Outline manufacture Pasteurised milk

4.2.1 Pasteurisation / homogenisation / separation
Raw milk is pumped to the pasteuriser balance tank and into the regeneration section of the pasteuriser plate
pack where it is pre-heated to ~ 60 - 65C.
Whole milk processing:
The milk passes into the heating section of the plate pack where it is subjected to the legally required
temperature / time combination of 71.7C minimum for 15 seconds. It is then cooled to 5C and pumped into
a holding tank.
If required, homogenisation of the pre-heated milk takes place prior to the pasteurisation stage.
Homogenisation breaks the milk fat globules into smaller sizes and distributes them evenly throughout the milk
preventing them rising to the top forming a cream line.
Skimmed milk processing:
The pre-heated milk at 60 - 65C exits the pasteuriser plate pack and passes into a separator, which removes
the cream. The cream is transferred to a raw cream storage tank prior to pasteurisation in a dedicated
cream pasteuriser.

16

The skim returns to the heating section of the milk pasteuriser and is subjected to the legally required
temperature / time combination of 71.7C minimum for 15 seconds. It is then cooled to 5C and pumped into
a holding tank.
Semi-skimmed milk processing:
The pre-heated milk at 60 - 65C exits the pasteuriser plate pack and passes into a separator, which removes
the cream. Some of the cream is then blended back with the skimmed milk to provide the required butterfat
content. This standardised milk is then pumped to a homogeniser, which breaks up the fat globules into
smaller pieces and distributes them evenly throughout the milk. It is then returned to the heating section of the
milk pasteuriser and is subjected to the legally required temperature / time combination of 71.7C minimum
for 15 seconds. The semi-skimmed milk is then cooled to 5C and pumped into a holding tank.
The surplus cream is transferred to a raw cream storage tank prior to pasteurisation in a dedicated cream
pasteuriser.
4.2.2 Filling / capping
The cooled, pasteurised milk in the finished milk holding tank is pumped or gravity fed into a filling machine.
Bottles are filled, capped and have labels and codes applied prior to being crated and transferred to cold
storage at less than 5C in preparation for despatch and sale. Product testing for compliance with legal
requirements is carried out at this stage.

17

4.3 Pasteurised milk process flow

Raw milk

Pasteuriser plant
Pre-heating (60 - 65C)

Pasteurisation
(71.7C for 15 sec.)

Separation

Standardisation
(skim and semi skim)

Cooling
(5C)

Holding

Homogenisation
(if required)

Surplus cream

Cream pasteurisation

Filling / capping

Cream filling /
capping / label / code

Label / code

Cold store (Below 5C)

18

4.4 Capital and operating costs Milk processing and bottling

The production unit in this example uses a continuous plate pasteuriser. A homogeniser is required to produce
homogenised milk. The aim is to produce 500 litres of pasteurised milk per day but the capacity will allow for
doubling the output.
The capital investment required is estimated as follows: (See appendix 3)
Capital for equipment using second hand equipment

27,500

Or alternatively using new equipment

53,800

Capital for building premises, 8m x 3m

34,800

Table 4 Cost of production of pasteurised milk

Item

Costs per day (pence)

Using reused equipment
Using new equipment

Daily production costs

Processing

470

470

Labour

4800

4800

Ingredients

8925

8925

Equipment

2200

2690

696

696

718

1138

Product delivery

1000

100

Building repairs

140

140

Return on capital

434

508

Return on working capital

377

644

Product storage

250

250

20010

21261

40.0

42.5

7.8

7.8

47.9

50.4

9.6

10.1

57.5

60.5

Buildings
Daily admin and other running costs
Admin and maintenance

Sub total excluding packaging

Sub total to produce 1 litre
Packaging cost per litre
Total cost before profit
Profits at 20%
Ex-farm cost per litre

Note 1: Other packed sizes can be calculated using the cost of processed milk and adding the packaging cost. For example, cost of
two litres of processed milk is 80p and cost of two-litre poly bottle and cap is bout 10.7p making the total cost of 90.7p before profits.
Note 2: The prevailing milk price used in the example was 18ppl.
Note 3: These costings are only a guide. The availability and price of equipment may vary. Ensure you consult your financial advisor
before proceeding.

19

Hand
Wash Sink

Personal Lockers

Area to remove
outside clothing
and footwear.
Sit on bench
swing legs over
and put dairy
protective
clothing and
footwear on.

Chilled Water Unit

Drain

Air Compressor

Past.
Milk
Tank

Raw
Milk
Tank

Drain

Milk Bottle
Filling

Drain

Hydrogeniser

Seperator

Milk
Pasteuriser

Drain

Drainer

Rinse
Sink

Wash
Sink

Drainer

Cream
Filling

Cream
Batch
Past.

Packaging Store

Covered
Unloading Area

Please Note: Not to scale

Always consult your Local Environmental Health Officer (EHO) Planning and Building Regulations at all stages.
Many production sites produce high quality ice cream with a simplified version of the adove.

Boiler

Toilet (with hand wash sink)

Protective Clothing

Fig. 4.1

4.5. Milk processing area outline plan

Hand
Wash Sink

20
Cold Store
Compressor Room

Cold Store 4C

Covered loading Area

Section 5 - Appendices
Appendix 1
Capital items for Yogurt manufacture, 100 litre batch per day
Building premises (7m x 3.5m x 2m high) cost at 1,250/m2 would be 30,625
Capital for Equipment
Second Hand

New

4,500

10,300

Separator

1,000

3,500

Walk in chilled store

5,000

7,500

Product Chiller x 2

3,400

5,500

Yogurt pump

850

3,600

Raw milk tank

900

3,500

Compressor (air)

200

600

Hot water boiler

600

800

Dish washer

300

500

1,600

2,300

250

250

18,600

38,350

Batch pasteuriser

Pot sealer
Buckets, jars etc
Total

Appendix 2
Capital items for ice cream manufacture, refurbished premises
(7m x 3m x 2m high) Refurbishment of floors, walls ceilings and drains 16,150
Capital for Equipment
Second Hand

New

Jacketed tanks, 100 litres x 2

3,200

15,800

Homogeniser

5,500

18,500

Continuous freezer

2,000

15,000

Pipes, fittings

300

300

Hot water boiler

600

800

Compressor (air)

200

600

5,800

14,200

200

400

7,800

10,000

25,600

75,600

Cup filler
Trays and ancillary items
Large freezer store
Total

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Appendix 3
Capital items for milk pasteurisation and bottling
Building premises (8m x 3m x 2m high

New building, fabric only

19,200

Walls and ceiling

5,100

Epoxy floor

1,800

Electrics

6,000

Wash basin, hygiene equipment

2,700

Total

34,800

Process equipment

Pasteuriser 500 l/h

Second-Hand

New

2,500

14,000

Balance tank

400

800

Homogeniser

7,800

12,000

Separator

1,000

3,500

Poly bottle filler

8,500

11,900

Pipes, valves, pump

3,500

5,000

Pasteurised milk tank

2,500

4,000

600

800

Hot water boiler

Compressor (air)

200

600

Batch cream pasteuriser

500

1,200

27,500

53,800

Total

22

This booklet and the information within are intended as a guide only. Costs stated are approximate and were felt to be
representative at time of going to press.
Please seek detailed support from your accountant, bank, legal advisor or other specialist support organisations available in pdf
and printed copy format from the DairyCo, formerly the Milk Development Council
Disclaimer: DairyCo seeks to insure that the information contained within this publication is accurate. However, DairyCo shall not
in any event be liable for loss, damage or injury howsoever suffered directly or indirectly in relation to information contained
within this publication, and no liability will be accepted for errors or omissions.
The contents of this publication may not be reproduced in whole or in part without the consent of DairyCo.

23

Trent Lodge
Stroud Road
Cirencester
Gloucestershire
GL7 6JN
T: +44 1285 646500
F: +44 1285 646501
E: info@dairyco.org.uk
www.dairyco.org.uk
December 2008