The business, which employs more than 250 staff at its three sites, will upgrade the Chester facility with new equipment to allow it to manufacture and store skim and blended concentrated milks.

The announcement was made as the company revealed a 15.6 per cent growth in operating profit to £11.2m for the year to 31 March 2014, alongside a 23 per cent turnover growth to £420.7m.

It follows a previous £1.2m investment in Chester, and a £3.1m injection into its Peterborough operations, both of which have now completed.

Simon Chantler, executive chairman, said: "The improved profits, which have grown in line with volume sales, allow us to continue to reinvest into the business in order to grow sustainably and offer stability to both our farmers and customers in a fast growing market place."

Additionally Mark Chantler has now been appointed managing director of ingredients, which the company said would support its growth.