13 Apr 2012

Fonterra expands Chinese footprint

6:32 am on 13 April 2012

Fonterra is pushing ahead with developing farming hubs across China - with the aim of producing a billion litres of milk annually there by 2020.

Plans for a further two large-scale dairy farms in Hebei province have been announced, adding to the three Chinese farms that Fonterra already has operating or under construction there.

Fonterra opened its first farm in 2007 and formally opened the second one this week.

A third is still being developed and Fonterra says it will spend $100 million on two more farms in the same province.

In total, the five farms will run 15,000 cows supplying 150-million litres of milk a year to the Beijing market, employing up to 500 people.