FrieslandCampina is in talks with China Huishan Dairy Holdings to create a baby food joint-venture. Both companies want to manufacture high-quality children's food in China.
Own brands, Chinese milk
The goal is that both companies could collaborate production-wise in the joint-venture, but both will keep their own brand names. China Huishan Dairy Holdings will deliver the raw milk, while the two food manufacturers will start manufacturing together.
"The two companies will continue to run their existing infant formula businesses separately. As such, Huishan will carry on marketing its own brands. And FrieslandCampino's Friso brand will still be exclusively produced in the Netherlands and marketed by FrieslandCampina", a press release stated. Both companies already collaborate on coffee creamer production.
FrieslandCampina set up the Sino-Dutch Dairy Development Centre in November of last year, together with Wageningen Universiteit & Researchcentrum and the China Agricultural University. This centre has to improve milk production, safety and the quality level in China.