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Fonterra and A-ware team up for new European plant

Dairy company, Fonterra, and A-ware Food Group have confirmed a partnership which will see the development of a new cheese plant and dairy ingredients plant in the north of the Netherlands.

At the site, located in Heerenveen, A-ware will operate a cheese plant and alongside it, Fonterra will oversee a dairy ingredients plant. Cheese will be produced  for A-ware customers in Eirope and the whey and lactose produced will be processed into dairy ingredients for Fonterra's global customer-base.

Fonterra CEO, Theo Spierings, said the investment fitted well with the strategic priorities of both companies.

"Fonterra has substantial intellectual property in the manufacture of functional whey protein ingredients and has been looking for some time for a source of high quality whey to enable it to commercialise these innovations for customers around the world."

Jan Anker, A-ware Food Group CEO, added, "A-ware is well placed to integrate the new cheese plant into its supply chain so it can expand its service offering with increased flexibility for a growing customer base in Europe."

Construction of both plants is due to be completed in late 2014.

News of the agreement between Fonterra and A-ware comes just a week after it was announced that Fonterra will invest more than $100m in a new UHT milk processing plant at its Waitoa site in New Zealand's Waikato region.

 

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