Blog: Dean BestAmbitious Brazilian dairy Vigor gets anti-trust boost

Dean Best | 28 May 2013

"We are well on our way to reach our goal to be the largest dairy company in the country." So claimed the CEO of Brazilian dairy Vigor, after it announced plans to buy 50% of rival Itambé. Overnight there was good news for Vigor when Brazil's anti-trust authority approved the deal.

In an interview with just-food last month, Vigor CEO Gilberto Xandó said the company, spun off last year from meat giant JBS, wanted to expand its presence in the vast South American country. The move to invest in Itambé helps Vigor build an interest in the south-eastern states of Minas Gerais and in Rio de Janiero, as well as in the north-east of Brazil.

Vigor, which competes with international players like Nestle and Danone, is expanding in added-value categories like yoghurt.

Interestingly, at least in the short term, Vigor and Itambé will remain competitors in some of these coveted categories. Xandó said there were no plans to merge the two companies, which would operate independently for the next two years at least, he said.

"There's a lot more synergy than rivalry between the brands, and we are focusing our efforts on that. And regarding products which are similar, we believe the exchange of experiences will be fundamental to building one of the largest dairy firms in Brazil," he said.

Brazil's dairy sector is forecast to grow rapidly. According to Euromonitor, in 2012 dairy sales in Brazil were US$29.77bn. It estimates that figure will rise to $46.3bn by 2017. For all that growth, Nestle and Danone will be watching Vigor closely.


BLOG

Another reshuffling of pack at Hain Celestial

Hain Celestial, under the scrutiny of the investment community in recent months and facing some challenges in its domestic market, has announced another shuffling of its management pack....

BLOG

FrieslandCampina looking to sell final non-dairy asset

FrieslandCampina, which today served up higher profits but lower sales for 2016, is ready to offload the last non-dairy business owned by the Dutch cooperative giant....

BLOG

just-food back up and running

To follow on from our earlier notice and after some hard work from our technical team, just-food is back live after today's power outage....

BLOG

Storm Doris causes power outage at just-food

Much of the UK has felt the impact of Storm Doris today - and just-food's head office has been no exception....

just-food homepage



Forgot your password?