Dairy processor Fonterra will spend $15 million building a new food and nutrition research centre in Melbourne. It will investigate new market opportunities for the company throughout Australasia. But Fonterra's director of innovation, Bob Major, says it will also take on food science projects for the industry.

It's going to be about 30 per cent pre-competitive work, that can be used generically for the good of the global dairy industry. The remainder will focus on the brands business and the food service business.

I guess it means there will be all sorts of new products with dairy at the base.