Australian dairy company Montec International said today (4 December) that it plans to accelerate its product rollout in China, targeting availability in 2,600 stores in Beijing, Qingdao and Dalian by the end of the month.
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In an announcement to the Australian Stock Exchange, the company said that this would provide a platform for further growth, which targets 6,000 sotres stocking Montec products by 30 June next year.
The company said that it expects continued growth past this date, coupled with increased promotional spending, will deliver a monthly operating cash flow break even position by the end of December 2007.
Montec added that the combination of reliable distribution channels and the company’s improved financial position will lead to a range of additional opportunities in drinking yoghurt and ice cream.
In September, Montec signed a product collaboration agreement with Beijing Sanyuan Foods, which required Montec to fund product purchases and store entry fees to facilitate the rollout of Montec monounsaturated milk brands in Beijing and Shanghai.

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