©Arla Foods
Dairy co-operative Arla Foods has entered a joint venture with Indonesia’s PT Indofood CBP Sukses Makmur Tbk, strengthening the brand’s presence in the Southeast Asian market.
The joint venture will be called Arla Indofood Sukses Makmur. Arla will acquire the majority stake in the company, owning 50% plus one share, while Indofood will own 50% minus one share.
Arla said the venture will handle sales, distribution and production of dairy products, though the companies have not disclosed information regarding new products or production plans at this time.
Indofood’s current product portfolio includes various dairy products, instant noodles, food seasonings and pasta.
Tim Ørting Jørgensen, executive vice president of Arla Foods’ international business, said: “We are pleased to enter into a partnership with ICBP who has strong experience with dairy and has an extensive FMCG distribution network in Indonesia with access and relationships to all key retailers.
“Teaming up with ICBP will allow us to offer our high-quality dairy products to more Indonesian consumers.”
Axton Salim, director of Indofood, added: “We are pleased to have the opportunity to team up with Arla Foods, one of the strongest dairy companies in the world with a strong innovation and research platform.
“Arla is also one of the leading global brands associated with European quality. This collaboration will complement our existing dairy business in Indonesia.”
© FoodBev Media Ltd 2024