The Tyler City Council has approved a 10-year tax abatement agreement with Hiland Dairy to support the company’s planned expansion, which is expected to generate up to $98 million in new investment and create 30 jobs with an average annual salary of $66,000. “We are thrilled to support Hiland Dairy’s expansion, which will not only create new jobs but will further solidify Tyler’s role as a regional hub for industry and employment,” Mayor Don Warren said Wednesday after a special-called city council meeting. Tyler celebrates progress with the groundbreaking of a new 96,000-square-foot Hiland Dairy facility, adding on to the existing facility that has been serving the community for years.
(Katecey Harrell/ Tyler Morning Telegraph) The expansion will add more than 90,000 square feet of dry and refrigerated storage, as well as production space, increasing the company's capacity. Hiland Dairy will add eight production lines, with room for two more in the future. The expansion aims to ease overcapacity at the Tyler facility, which currently produces one million gallons of milk per week and serves local customers, including Brookshire’s Grocery Company.
Hiland Dairy, a farmer-owned business, has been operating in Tyler since acquiring its current facility in 2017. The expansion will bring the total number of employees at the facility to 140. The project is expected to be completed in the first quarter of 2026.
The city expects the expansion to benefit the local economy b.