Scoop has an Ethical Paywall
Work smarter with a Pro licence Learn More

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

 

Westland signs with health and nutrition giant Kalbe

Westland signs with South East Asia’s largest-listed consumer health and nutrition firm.

Building on its growing market presence in China, New Zealand’s second biggest dairy co-operative, Westland Milk Products, signalled an increased presence in South East Asia by signing a Memorandum of Understanding with Indonesian consumer health and nutrition giant Kalbe (PT Sanghiang Perkasa).

Today’s signing, in the presence of visiting Indonesian President Joko Widodo at a business forum held in Wellington, is the first step toward forming a strategic partnership between Westland and Kalbe.

Westland Chief Executive Toni Brendish said that this was a significant opportunity for Westland to work with a South East Asian market leader in infant nutrition and dairy products and that the MOU will lead to a strategic relationship with Kalbe, allowing Westland to grow in ways it could not do with its own resources.

“Kalbe is a highly sought after customer, with huge market penetration and networks in an increasingly important region, Ms Brendish said.

Kalbe also has a joint venture with Morinaga Japan for the production of infant formula in Indonesia. This gives them around a 13% share of the current domestic powdered milk market in Japan under both Kalbe and Morinaga brands, presenting additional opportunities for Westland in the Japanese market.

“These strategic relationships with other companies enable Westland to get access into key markets through advanced existing networks.

Advertisement - scroll to continue reading

Are you getting our free newsletter?

Subscribe to Scoop’s 'The Catch Up' our free weekly newsletter sent to your inbox every Monday with stories from across our network.

“This is an effective and prudent growth strategy for Westland which we fully expect to lead to financial benefits for the company – welcome news for Westland’s shareholders.

“Kalbe and Morinaga senior executives visited Hokitika and Rolleston operations earlier this year and were impressed with Westland’s strategy and capabilities and we hope to eventually become a Kalbe preferred supplier for a number of nutritional and consumer products,” said Ms Brendish.

New Zealand Trade and Enterprise helped introduce the two companies more than a year ago, resulting in the MOU. It also supports Westland’s strategy to increasingly move into the South East Asian region and not relying wholly on its growing market in China.

Today’s announcement follows news that Southern Pastures LP – New Zealand’s largest dairy farmland fund – is to become a shareholder of Westland Milk Products, bringing four million kilograms of milk solids to Westland’s milk collection annually.

Westland and Southern Pastures are investigating the formation of a joint venture to produce and market free-range, grass-fed milk for a growing global demand, especially in North America.

© Scoop Media

Advertisement - scroll to continue reading
 
 
 
Business Headlines | Sci-Tech Headlines

 
GenPro: General Practices Begin Issuing Clause 14 Notices

GenPro has been copied into a rising number of Clause 14 notices issued since the NZNO lodged its Primary Practice Pay Equity Claim against General Practice employers in December 2023.More

SPADA: Screen Industry Unites For Streaming Platform Regulation & Intellectual Property Protections

In an unprecedented international collaboration, representatives of screen producing organisations from around the world have released a joint statement.More

 
 
 
 
 
 
 
 
 
 
 
 

Join Our Free Newsletter

Subscribe to Scoop’s 'The Catch Up' our free weekly newsletter sent to your inbox every Monday with stories from across our network.