Dairy Farmers of America, the US dairy co-op, and Chinese dairy giant Inner Mongolia Yili Industrial Group Co. have agreed to set up a milk powder joint venture.

The companies revealed plans for a “strategic alliance” last summer and hinted at the prospect of establishing ventures along the supply chain.

Go deeper with GlobalData

Data Insights

The gold standard of business intelligence.

Find out more

Discover B2B Marketing That Performs

Combine business intelligence and editorial excellence to reach engaged professionals across 36 leading media platforms.

Find out more

In a statement to the Shanghai Stock Exchange on Wednesday (12 November), Yili said the two sides had decided to establish a milk powder plant in Kansas.

The factory will have an annual output of 80,000 tonnes of milk powder.

The companies are putting a combined US$100m into the venture. DFA will plough $70m into the business – giving it a 70% stake – with Yili putting up the other $30m.

GlobalData Strategic Intelligence

US Tariffs are shifting - will you react or anticipate?

Don’t let policy changes catch you off guard. Stay proactive with real-time data and expert analysis.

By GlobalData

Just Food Excellence Awards - The Benefits of Entering

Gain the recognition you deserve! The Just Food Excellence Awards celebrate innovation, leadership, and impact. By entering, you showcase your achievements, elevate your industry profile, and position yourself among top leaders driving food industry advancements. Don’t miss your chance to stand out—submit your entry today!

Nominate Now