Fonterra boosts Chinese kids' milk presence with 'ultra-premium' Anchor launch

By Mark ASTLEY contact

- Last updated on GMT

Fonterra boosts Chinese kids' milk presence with 'ultra-premium' Anchor launch

Related tags: Milk

Fonterra has moved to strengthen its position in China's kids' milk market with the launch of a vitamin-enriched "ultra-premium" product.

Earlier this month, the New Zealand dairy giant announced the launch of Anchor Kids' Golden Milk in China. 

Produced and processed in New Zealand, Anchor Kids' Golden Milk naturally contains around 3.6g of protein per 100ml. This, Fonterra claims, is 20% higher than the average protein content in existing Chinese kids' milk products.

Anchor Kids' Golden Milk, which is filled into 125ml and 190ml cartons, also boasts a high calcium content and no added sweeteners or additives other than vitamins. 

In a statement, Manoj Namboodiri, business development director at Fonterra China Brands, said the company developed Kids' Golden Milk in response to growing demand from Chinese parents for "ultra-premium quality, nutritious and unsweetened kids' milk."

According to Namboodiri, 42% of sales in China's RMB 39bn (US$6.1bn) milk market "are generated by parents buying premium white milk for their children.”

"Anchor Kids' Golden Milk targets this group who prefer milk from a high-quality milk source and with no sweeteners or additives," ​he said. 

"We've already reached a number three position in kids' milks market share in Eastern China hypermarkets,"​ Namboodiri said. "This new launch should help strengthen our position."

E-commerce and TV shopping

Anchor Kids' Golden Milk is available on Chinese e-commerce platforms, where consumers can pick up a multipack of 12 190ml cartons for around RMB 109 (US$17).

11
125ml and 190ml cartons of Anchor Kids' Golden Milk are available in 12 packs.

It will also be available through TV shopping channels and existing Anchor distribution channels in East and North China.

Fonterra launched Anchor as a consumer brand in China in 2013, and now boasts a portfolio that includes UHT milk in varying formats and organic, whole and skimmed milk powder.

Fonterra furthered its presence in the Chinese dairy market earlier this year when it acquired an 18.8% stake in its Chinese infant formula partner Beingmate for around US$550m.

Related topics: Business, East Asia, Oceania, Dairy, China

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