Europe’s second largest dairy group, Arla, has entered the Algerian powdered milk market with its Dano brand.
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Algeria is one of the world’s largest markets for powdered milk. Its milk consumption is growing by 8% per annum. Local production only meets approximately 10% of demand.
“Like the rest of North Africa, Algeria is a growth market which has been overshadowed by developments in Asia,” Frede Juulsen, executive director, BU Milk Powder, said. “The country has a large milk consumption and domestic production cannot cope with demand. We, therefore, see great opportunities to develop an interesting business here.”
Arla said that its push into Algeria is part of its strategy to sell milk powder as profitable brands rather than as a commodity.
Dano arrived in stores in Algiers last week and will shortly be available in the cities of Oran and Setif, the company said. In early March, the launch will be followed up by an advertising campaign on TV, radio, newspapers and on posters on buses. Focusing on health issues, the campaign will see the distribution of 90,000 samples.
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By GlobalData“Regardless of whether you’re a parent in Sweden, Denmark or anywhere else, your ambitions are the same. You want to feel secure and you’ll do everything you can for your child’s development,” said Juulsen. “On the basis of our focus on food safety, and the high quality of our products, we can contribute to just that. I’m confident that our expertise will help us develop the entire market.”
