Fonterra and Arla Foods announce partnership in the UK

Read time:
1 min
18 October 2001
Press contact

Jens Bigum, Arla Foods Group Managing Director
Fonterra and Arla Foods, two of the world’s largest dairy co-operatives, announced today plans to join forces in their yellow fats operations in the UK.
The joint venture will, subject to regulatory approval, commence operations in early 2002.

The new company will be responsible for the marketing and distribution of the existing Lurpak and Anchor brands, as well as developing new products in the highly competitive yellow fats market.

Details of the structure and the management team will be decided towards the end of this year. However, it has been decided that the new company would utilise the larger Arla Foods structure based in Leeds and to close the base in Swindon at the end of 2002. Staff there are being consulted.

Jens Bigum, Arla Foods’ Group Managing Director said:
“The new venture follows naturally from Arla Foods’ new strategy plan which envisages such partnerships. The move will enable both parties to exploit their production facilities better and thus enhance our services to the large multiples and consumers. We’re pleased to note that Fonterra has decided that Arla Foods is the best partner among all the many excellent dairy companies in Europe.”

Fonterra CEO Craig Norgate said:
“Just as we are seeing elsewhere in the world, UK retailers are becoming more powerful, leading suppliers to consolidate to become more efficient and to have the reach necessary to service larger customers. In a market where we forecast continued decline in demand, we need all the scale we can get and every ounce of efficiency”.

Download pictures and graphic ![](/imagehandler.ashx?f=/Upload/News/Crawled/ArlaFoodsCom/9287_929_dblink.gif&w=0&h=0&r=0&o=&k=False&cr=x0y0w0h0&crcwp=&crchp=&rc=0) her

Arla Foods is an international dairy company owned by 9,700 farmers from Denmark, Sweden, the UK, Germany, Belgium, Luxembourg and the Netherlands. Arla Foods is one of the leading players in the international dairy arena with well-known brands like Arla®, Lurpak®, Puck® and Castello®. Arla Foods is focused on providing good dairy nourishment from sustainable farming and operations and is also the world's largest manufacturer of organic dairy products.

Press contact

Arla Group Press Office
Arla Group Press Office (journalists/media only) +4591310310
Åse Andersson
Åse Andersson Head of Media Press contact for Arla Foods in Denmark +45 91 310 310 +45 89 38 10 00
Carina Østergaard
Carina Østergaard Corporate Communication Manager Press contact for Arla Foods International +45 91 31 16 01 +45 89 38 10 00