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The expansion will double production capacity of the single serve line and boost exports by $20 million per year.
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Victorian regional development minister Jaala Pulford travelled to Wodonga on Friday for the announcement.
"This significant investment is a vote of confidence in the local community," she said.
"Wodonga is the fastest growing centre in Victoria outside Melbourne.
"This is core business for us and what we are all about."
The present facility produces 900,000 single serve packs in a 24-hour period and the expansion will be completed in 2017.
"We are supporting projects across regional and rural Victoria that will build critical infrastructure, create jobs, invest in communities and support new and emerging industries," Ms Pulford said.
The Andrews Government confirmed funding for the privately-owned Logic rail hub earlier this year.
