Arla, the Danish dairy business, has announced that it is seeking to expand its footprint in south-east Asia via a joint venture with local player Indofood (ICBP).
Describing southeast Asia as “a strategic growth region in Arla Foods’ strategy, Good Growth 2020”, the cooperative said that the new joint venture would handle sales, distribution and production of dairy products, but did not disclose further details about product portfolio, production or launch dates.
Commenting on the move, 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”.
Indofood director Axton Salim said: “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”.
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