Fonterra invests in European whey ingredients
Fonterra has taken a 10% shareholding in Lithuania’s biggest dairy producer, AB Rokiskio Suris, securing a supply line of high-value whey ingredients.
Fonterra has taken a 10% shareholding in Lithuania’s biggest dairy producer, AB Rokiskio Suris, securing a supply line of high-value whey ingredients. In addition, the investment opens product options across Europe and the Middle East and gives the co-operative more opportunities to produce higher value products from New Zealand milk.
The NZD$11.5 million (approximately USD$8 million) investment is closely aligned to Fonterra’s strategy to grow its global sources of milk in strategic locations, enabling the co-operative to satisfy customer demand in market closer to those sources.
“Through this investment we have increased our access to high-value whey protein ingredients at a time of rising demand for these products, especially in Eastern and Western European, Middle Eastern, and North African markets,” said CEO Theo Spierings. “This is further progress with our strategy to develop a sustainable European-sourcing network, providing a reliable and efficient chain of supply that complements our New Zealand-sourced ingredients.”
Rokiskio has three factories in Lithuania and makes cheese, butter, whey protein, and milk powders. It is one of the largest and most well-known cheese producers in Central and Eastern Europe, producing more than 30 thousand tons of cheese each year. The company exports to both Eastern and Western markets, as well as producing a wide range of fresh dairy products for the Baltic region.