Video | Agriculture | Confidence | Economy | Energy | Employment | Finance | Media | Property | RBNZ | Science | SOEs | Tax | Technology | Telecoms | Tourism | Transport | Search

 

Fonterra Initiative In India

Friday 26 October 2001

NEW ZEALAND MILK, the consumer products division of Fonterra Co-operative Group Ltd, is to enter the Indian dairy market by establishing a joint venture with Britannia Industries Ltd, which owns one of India’s strongest food brands. The deal is subject to regulatory approval.

Britannia, based in Bangalore and with annual turnover of NZ$600 million, is principally in the bakery business and has a strong national distribution network. In recent years it has expanded into the dairy sector as part of its growth strategy and it has identified NEW ZEALAND MILK as having the expertise and international marketing experience needed to expand its dairy business rapidly.

Fonterra CEO Craig Norgate said the alliance would provide Fonterra with a strategic point of entry into a market of huge potential within the world’s fourth largest economy.

“India’s total dairy market, at NZ$50 billion, is one of the world’s biggest. Steady growth and liberalisation of India’s economy has opened up attractive opportunities for investment in the country’s dairy industry,” he said.

NEW ZEALAND MILK Managing Director David Pilkington said domestic operators, via an informal market, supply the largest sector of the Indian market.

“The NZ$8.5 billion ‘formal’ market, which is growing at nine percent annually, is the target for Britannia and NEW ZEALAND MILK,” Mr Pilkington said.

Britannia currently markets processed cheese, butter, dairy whiteners and ghee and has recently expanded into liquid milks, which it is now selling in Delhi and Calcutta. Mr Pilkington said the joint venture would further expand this product range, having identified strong growth potential in the milks and foodservice categories.

END


© Scoop Media

 
 
 
Business Headlines | Sci-Tech Headlines

 



BusinessNZ: Third Snapshot Report Reveals $9.5 Billion Business Investment In Climate Action

Signatories to the Climate Leaders Coalition have committed to invest $9.5 billion over the next five years to reduce emissions from their businesses, as revealed in their third anniversary snapshot report released today... More>>

Digitl: The home printer market is broken
Printers are more of a security blanket that a serious aid to productivity. Yet for many people they are not optional.
Even if you don’t feel the urge to squirt ink onto dead trees in order to express yourself, others will insist on printed documents... More>>


Serious Fraud Office: Commences Enquiries Into Allegations Of COVID-19 Wage Subsidy Fraud
The Serious Fraud Office has commenced a number of enquiries into alleged abuse of the Government’s COVID-19 Wage Subsidy. Director Julie Read said the allegations relate to multiple complex cases of potential fraud that have been referred to the agency following extensive investigations ... More>>

ComCom: Companies In Hot Water For Selling Unsafe Hot Water Bottles And Toys

A wholesaler and a retailer have been fined a total of $140,000 under the Fair Trading Act for selling hot water bottles and toys that did not comply with mandatory safety requirements. Paramount Merchandise Company Limited (Paramount) was fined $104,000 after pleading guilty in the Manukau District Court... More>>



Reserve Bank: Robust Balance Sheets Yield Faster Economic Recovery

Stronger balance sheets for households, businesses, financial institutions and the government going into the pandemic contributed towards maintaining a sound financial system and yielding a faster economic recovery than following previous deep recessions... More>>


Transpower: Releases Independent Report Into Events Of August 9
Transpower’s Chief Executive Alison Andrew has today released an independent report into the grid emergency of August 9 when insufficient generation was available to meet demand, leading to some customers being disconnected... More>>