Multinational dairy company Moloko Holdings is to start production and distribution of Russia's first organic milk in the Ulyanovsk province.

Moloko is understood to have signed a cooperation agreement with local authorities for the project. US firm Aurora Organic Dairy will act as an advisor to the project, a spokesperson for the company told just-food.

"Aurora Organic Dairy's founder and CEO is a principal in Moloko, and he and other AOD executives are advising periodically in this project," the spokesperson said. "We applaud the effort to bring organic dairy products to consumers and retailers in this developing market."

According to local publication Izvestia, the product will be marketed through supermarket chains such as Magnit, X5 Retail Group and Auchan.