Dutch FrieslandCampina and China Huishan Dairy in talks on infant milk joint venture

China Huishan Dairy Holdings and Dutch dairy company Royal FrieslandCampina have entered into discussins on creating a joint venture to produce, market and sell high-quality infant milk formula in mainland China. The purpose of the joint venture is to operate a fully integrated infant milk formula supply chain. Both companies will continue to run their existing infant milk formula businesses separately.

In this joint venture, Huishan and FrieslandCampina will leverage their respective experience and expertise to produce, market and sell high-quality infant formula products in the country. Huishan will provide its high quality raw milk from its own dairy farms in China to the joint venture and the joint venture will produce and market infant milk formula. The two companies will continue to run their existing infant formula businesses separately. As such, Huishan will carry on marketing its own brands. And FrieslandCampina¹s Friso brand will still be produced in the Netherlands and marketed by FrieslandCampina. The companies already successfully cooperate in the production of non-dairy creamers.