US-based Batory Foods has commenced the construction work on a distribution and handling facility in Wilmington, Illinois.
The distribution center will spread across 678,000ft2 area and will perform two distinct operating functions.
Alston Construction, headquartered in Lisle and Chicago-based Ridge Development will handle the construction and development of the facility.
Batory president Ron Friedman said: ""This Wilmington handling and distribution center will be the flagship in the Batory organization.
"It will set the standard for efficiency and food safety throughout the food industry."
The company said that the facility will incorporate cutting-edge technology and embrace environmentally responsible design elements, like remote-sensor LED lighting and electric car charging stations.
It also plans to seek C-TPAT Certification and OSHA VPP status for the site for employee safety.
Batory's operations project manager said: "We are determined to become an integral part of this community, and we will continue to expand opportunity within the City of Wilmington and throughout Will County."
While the building's north end will be a full service distribution center, Batory will use the south end of the building to offer third party logistics (3PL) services to New Zealand-based multinational dairy company Fonterra from November 2016.
The company will manage the inbound and outbound services related to the inventory received directly from Fonterra in New Zealand.
In March, Batory said that it was chosen by Fonterra as its new third-party logistics provider in Illinois.
Batory will also move a portion of distribution activities at its Oakley facility to Wilmington.
Founded in 1979, Batory Foods provides food, nutraceutical and fine ingredients for food and beverage manufacturers in the US.