Freedom Foods Group, the Australian free-from cereal and snacks firm, is to set up a subsidiary in North America.
The company has worked with a local distributor and said growing sales meant it now wanted to set up its own unit.
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Freedom said it planned to try to increase sales of its branded products and secure agreements to co-pack from its plant in Leeton in the Australian state of New South Wales.
The subsidiary will take on the import and distribution rights of current partner Wholesome International. Freedom said the agent will “provide ongoing distribution and administration services”.
Demand for free-from foods in the US is buoyant. Freedom said the gluten-free market was estimated to be worth US$3.4bn, with sales growing at a compound annual growth rate of 15%. The company plans to focus its efforts on natural products or speciality retailers in regions like California, Texas, New York and Florida, as well as Canada.
It added it is in talks to supply a co-packed line to a “major North American retailer”.
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