Laing O’Rouke is understood to be the preferred contractor for the huge plant and is expected to start construction work shortly so the plant can be finished by the end of next year.
The Arla dairy will become the world’s first billion litre liquid milk dairy when it starts operation.
The plant, which will be built on a 70-acre site at Aston Clinton, should also be one of the most environmentally advanced in the world. The aim is a zero carbon facility with zero waste to landfill.
Peter Lauritzen, CEO of Arla Foods UK plc, said: “This will be a state-of-the-art dairy designed to help Arla achieve its growth ambitions in the UK.
“In addition to being one of the largest construction projects in the UK, our flagship building will also be the world’s first zero-carbon dairy.”