Fonterra pointed to growth of Chinas casual dining and bakery channels

Fonterra pointed to growth of China's casual dining and bakery channels

Fonterra, the New Zealand dairy giant, has set up a site in China to develop products to supply foodservice customers in the country.

The world's largest dairy exporter has opened an "application centre" in the Chinese city of Guangzhou. The company said the move was due to "growing demand" for Anchor-branded products in the foodservice channel in the country.

"China's casual dining and bakery market has developed rapidly in recent years, with an annual growth rate above 20%. Within that overall growth, the demand for food made with premium dairy products also continues to rise," Christina Zhu, MD of Fonterra's business in Greater China, said. "As the cultural and economic hub of Southern China, we are seeing strong growth in Guangzhou and are excited to bring our specialist application centre services to customers here. Fonterra is committed to growing and developing the Chinese dairy industry alongside our partners and we believe this facility is a great platform for delivering on this commitment by sharing our rich New Zealand dairy knowledge and expertise with our local partners."