Future Group forms dairy JV with Fonterra

Retail entrepreneur Kishore Biyani-led Future Consumer Ltd will form an equal joint venture with New Zealand's Fonterra Co-operative Group Ltd in a deal that will help the world's largest dairy exporter set up a presence in the world's largest dairy market. The joint venture, called Fonterra Future Dairy Partners, will sell a range of milk products in India, Future Consumer said in a stock-exchange filing. Lukas Paravicini, Fonterra's COO for global consumer and food service, said: “It will allow us to prepare the groundwork and make the most of our expertise as we enter the world's largest and fastest-growing dairy industry.” He said consumer demand for dairy in India over the next seven years is set to increase by 82 billion litres, seven times the forecasted growth for China. The new venture will initially focus on product development and marketing. The first consumer products will be launched by the middle of 2019, using both locally sourced milk and dairy products from New Zealand.