Production update (II): EU pet players expand capacity across Hungary, Denmark, Spain and Romania

From microalgae cultivation in Denmark to automated warehousing in Hungary, companies are investing in higher output and more efficient supply chains. GlobalPETS rounds up the latest developments in these markets as well as in Spain and Romania.

Nestlé Purina

Nestlé Purina has invested HUF 193 billion (€502M/$560M) to expand its pet food factory in Bük, Hungary, approximately 207 km from Budapest. The investment added 3 production plants that manufacture wet cat food under the Felix and Gourmet brands, plus a fully automated high-bay warehouse with a capacity of 50,000 pallets on site.

The expansion increases the factory’s annual production capacity by more than 100,000 tons, bringing its potential output to 500,000 tons, and is expected to create 600 jobs. The number of robots operating at the site has also surpassed 200, further increasing automation at the facility.

The Bük factory is one of Nestlé’s largest pet food production sites in Europe. Around 95% of its output is exported from Hungary to nearly 50 countries.

Nestlé’s operations in Hungary generate HUF 409.4 billion (€1.1B/$1.2B) in annual gross value added and contribute HUF 106.7 billion (€277M/$309M) to the central budget. Its 1,500 domestic suppliers provide around HUF 75 billion (€195M/$218M) in goods and services annually.

Algiecel

Danish microalgae ingredients company Algiecel has opened a production facility at Novonesis’ site in Kalundborg, Denmark, to supply customers in the pet food and cosmetics sectors.

According to the company, the facility increases its production capacity almost fivefold. The new reactor has a total volume of 5,500 liters, with 3,240 liters used to grow microalgae, compared with 700 liters in its pilot system. It uses captured CO₂ from an operational on-site biogas plant.

Algiecel expects to produce 12 tonnes of biomass annually from 2027 as it moves from sample production to recurring commercial supply. The modular design allows the company to expand capacity by adding identical units.

“At a moment when fish oil supply is under real pressure, this facility is where we prove we can deliver a reliable alternative, produced under industrial conditions, at the volumes our customers need,” says Susanne Palsten Buchardt, CEO of Algiecel.

Alinatur Petfood

Pet food manufacturer Alinatur Petfood has added 2 production lines and a vertical warehouse adjacent to its facilities in Lorca, approximately 460 km from Madrid.

The expansion forms part of the company’s ongoing investment to increase production capacity and improve efficiency.

Founded in 2008, Alinatur Petfood has an annual production capacity of 120,000 tonnes and is described as Spain’s largest dry dog and cat food manufacturer by capacity. The company operates in more than 65 countries worldwide.

In 2027, the company expects revenue to rise by almost 40% from 2025, driven by its own brands and international expansion.

Leiber

German yeast producer Leiber has acquired a production facility in Mizil, Romania, approximately 86 km northeast of Bucharest, to strengthen its presence in Central and Eastern Europe. The company is currently working on integrating the site.

According to Leiber, the facility complements its existing production network and creates opportunities to increase production volumes, shorten delivery routes and access new markets.

“With the new facility, we are creating the foundation to systematically expand our capacities and to continue supporting our customers with the performance and flexibility they need,” says Oliver Beckmann, COO of Leiber.

United Petfood

United Petfood is opening this October a dry pet food production facility in the Romanian city of Răcari, 38 km northwest of Bucharest

The site will be its second factory in the country, alongside its existing plant in Buftea, and represents a long-term investment in Romania and the wider Eastern European market.

Equipped with two extrusion lines, the facility will have an annual production capacity of approximately 150,000 tonnes, roughly doubling the company’s current capacity in the country. It can also process fresh meat to support the production of premium pet food products and offers flexible packaging options for different customers and market segments.

According to United Petfood, the investment supports its expansion in the Eastern European market. 

The Belgian private label manufacturer sees growth opportunities in the region driven by increasing pet ownership, rising demand for high-quality pet food and the continued professionalisation of the market. It also supports the company’s strategy to produce closer to customers and source raw materials locally wherever possible.

The facility will benefit from the technology, expertise and quality standards of United Petfood’s international production network, while strengthening its ability to respond flexibly to customer needs across Romania and neighbouring markets.