| Strong start to Chinese venture
New management team takes on the world’s largest milk powder market
The first milk powder produced by Arla Foods’ new joint venture enterprise in China is on its way to retail outlets following the appointment of the management team that will lead the company in its early years.
Former executive director of Arla Foods Ingredients, Jais Valeur, is the new chief executive officer of Arla Mengniu (Inner Mongolia) Dairy Products a joint venture between Arla Foods and China Mengniu Dairy Company.
We are already producing the brands we have taken over from China Mengnui Dairy Company. During 2006, the plant will be upgraded to international standards so we can improve the quality of these local brands, he says.
MILEX® will be imported and marketed as the joint venture’s premium international brand.
Lillie Li Ekhard, who played a key role in identifying China Mengniu Dairy Company as the ideal partner for realising Arla Foods’ strategy, is now vice-president overseeing the company’s marketing and business development activities. Arla Foods has also appointed Ulrik Sletten as production director. Three executives appointed by China Mengniu Dairy Company complete the management team. |

China Mengniu Dairy Company has access to large volumes of milk at a good price and, in just five years, has established a strong brand name and sales and distribution network. Arla Foods’ role is to supply production know-how, R&D and branding knowledge, Jais Valeur explains.
In the face of tough competition, the management team has high ambitions to realise the potential of the Chinese milk powder market, which has a current annual growth rate of 11%. |