Friesland pulls out of China

HOLLAND/CHINA – Dutch company Friesland Coberco has announced it is to withdraw its operations in China next week because of the rapidly deteriorating condition of the Chinese dairy market.

It will transfer its production and sales activities in the country to Tianjin Sino-Finnish Dairy Research and Trading Center, its current joint-venture partner there, on 24 November.

The company has had a majority holding in Chinese dairy company Friesland Tianjin Dairy Foods since 1996, where it produces and sells milk-based and yogurt drinks under the Dutch Lady brand.

Tianjin Sino-Finnish Dairy Research and Trading Center will continue the activities in a new joint venture called Dutch Lady Tianjin Dairy Company, which Friesland will have a 5% holding of.