Fonterra has increased its global expansion with the dairy giant entering India. Partnering with the Indian consumer goods company, Future Consumer Ltd, Fonterra has created a joint venture company called Fonterra Future Dairy Partners. Meeting Indians growing consumer demand for more dairy products, the joint venture will produce a range of dairy products for both retail and foodservice.
Future Consumer Ltd is part of the Future Group, a private Indian conglomerate with a prominent influence in India’s retail, fashion and supermarket industries. The conglomerate operates over 2000 trade outlets and has a nationwide distribution network.
Lukas Paravicini, Fonterra’s chief operating officer, global consumer and foodservice said: “The partnership will allow us to prepare the groundwork and make the most of our expertise as we enter the world’s largest and fastest growing dairy industry. Consumer demand for dairy in India over the next seven years is set to increase by 82 billion litres – seven times the forecasted growth for China.”
The increase in the consumption of dairy products is motivated by Indians growing young population where 70 per cent of the public is under 45. The younger generation leads active lifestyles, have more of a disposable income and want to consume higher quality nutritional dairy products.
“As a company that stands for FMCG 2.0, Future Consumer is committed to providing not only the best, but the latest in food and other consumer products”. Added managing director of Future Consumer, Ashni Biyani.
“We are delighted to partner with Fonterra, who globally leads the dairy industry in quality and innovation. Through this partnership, we will be able to reach our customers daily with quality dairy products.”