Japan’s leading but ailing milk products manufacturer Snow Brand Milk Co has announced an alliance with Itochu Corp and its affiliate, Yayoi Foods to promote one another’s frozen food sectors.


The country’s frozen food market according to Snow Brand, worth around ¥8.5bn, is growing rapidly but is also highly competitive. It said it hoped the agreement between the three food processors would give the group a competitive edge over its rivals.


Co-operation is to range from promotion and sales of one another’s products, joint procurement of raw materials, pooling of R&D, to mutual production of products on consignment.


Snow Brand said it will be relying on its extensive nationwide sales channels and global network to promote the other brands. The companies are also considering setting up a joint holding company to merge their frozen food business in the future.


The announcement comes towards the close of a very difficult fiscal year for Snow Brand. Capitalised at ¥27,809m and one of the country’s top ten food processors, it was touched by scandal last summer when found responsible for a widespread food-poisoning outbreak. The company is now facing difficulties regaining its confidence amid protracted damages talks and drastic sales declines.

How well do you really know your competitors?

Access the most comprehensive Company Profiles on the market, powered by GlobalData. Save hours of research. Gain competitive edge.

Company Profile – free sample

Thank you!

Your download email will arrive shortly

Not ready to buy yet? Download a free sample

We are confident about the unique quality of our Company Profiles. However, we want you to make the most beneficial decision for your business, so we offer a free sample that you can download by submitting the below form

By GlobalData
Visit our Privacy Policy for more information about our services, how we may use, process and share your personal data, including information of your rights in respect of your personal data and how you can unsubscribe from future marketing communications. Our services are intended for corporate subscribers and you warrant that the email address submitted is your corporate email address.

Snow Brand is to close four factories in addition to announcing the closure of its Osaka plant on 31 January as part of efforts to rationalize operations.


By Michael Fitzpatrick, just-food.com correspondent