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Michigan Backs $56M Facility to Produce Plant-Based Milk With New Water-Based Nut Extraction Process

Fenton Food and Beverage, a newly formed company owned by Yahya Abbas, the founder and CEO of Toronto-based Ya Ya Foods Corp., has received state approval to build a $56.2 million plant-based milk manufacturing facility in Fenton, Michigan.

The Michigan Strategic Fund Board approved a $960,000 performance-based grant and a five-year, $168,000 tax exemption for the project on May 19. The grant is contingent on the company creating a minimum of 96 jobs, with an average wage of $33 per hour plus benefits.

A new extraction process

According to the Michigan Economic Development Corporation, the Fenton facility would be the first in North America to use a technology that extracts milk directly from nuts using water, rather than producing plant-based milk from paste.

The plant will initially focus on almond milk production, though operators have indicated the facility could also run shorter production batches for other beverages, potentially serving entrepreneurs or brands looking to test new products.

The primary output is intended to serve as a component ingredient in certain Ya Ya Foods products. While Abbas owns both companies, their manufacturing operations are legally and operationally independent.

Michigan Backs $56M Facility to Produce Plant-Based Milk With New Water-Based Nut Extraction Process
Image: Peg1997 on Pexels

The Fenton project drew interest from multiple states, with Michigan competing against several Midwest and Southeast rivals. State economic development officials cited workforce availability, access to Detroit Metro Airport, and local infrastructure support as factors in the decision.

Michigan beats out rival states

The city of Fenton has committed to infrastructure upgrades at the business park where the facility will be located, though a final site and construction timeline have not yet been confirmed. Michigan’s higher labor costs were noted as a driver behind the incentive package, according to documentation reviewed by the Michigan Strategic Fund Board.

Abbas explained, “Michigan stood out early in our site selection process, and Fenton offered the right combination of access, workforce, and partnership. We’re excited to move forward and build a strong, long-term operation here.”

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