Fonterra and Nestlé believe Sri Lankan dairy production needs to be modernised to meet domestic demand.
Go deeper with GlobalData
“Sri Lanka’s annual demand for milk is around 1bn litres yet the domestic industry supplies just 200m litres,” Stuart Young, managing director of Nestlé Lanka, told just-food.
Young said the shortfall was the result of the country’s farming dynamics, which could benefit from modern techniques.
Fonterra Brands Limited (FBL) said it remained undaunted by low milk production when it revealed plans to invest US$11m to double yoghurt production in Sri Lanka by 2011.
Fonterra expects to be provided with 52,000 litres of milk daily, from 3000 local farmers.
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.
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“We are confident we will be able to meet the increase in capacity by increasing local supply of raw milk,” FBL MD Achyut Reddy told just-food.
“We have long-term plans in place to increase supply through working closely with local farmers to provide technical assistance on increasing production, pasture management, and breeding. Additionally, we are investing in infrastructure, in the form of new raw milk collection centers to assist in transporting and storing milk,” Reddy said.
