Nestlé and Lactalis create new yogurt giant
A turnover of some €1.5 billion is expected from the first year of business of a Nestle-Lactalis daughter, formed to specialise in the production and marketing of yogurts and dairy desserts.
From its HQ in Swiss Vevey, the world’s largest food group announced that it is to have a 40% share in the new organisation with the rest controlled by the French-based Lactalis which processes some 7,000 million litres milk in 78 plants worldwide. The new organisation will market established dairy products from both concerns and will take advantage of existing distribution networks in supplying the whole of Europe. At the same time Nestle indicated that new products would be developed by both concerns under the partnership banner, with more emphasis on functional or probiotic dairy foods.
Commenting on the plans, Nestle president Peter Brabeck-Letmathe said: “Our commercial cooperation with this successful French enterprise will mean a new strong European competitor in the market for yogurts and cooled desserts.”