Fonterra shaves 50c off forecast milk price
Fonterra has dropped its forecast milk price mid-point by 50c as a surge in global milk production is putting downward pressure on commodity prices.
The co-op’s innovation investment arm, Fonterra Ventures, is teaming up with German active nutrition start-up Foodspring via an investment in its parent company Goodminton AG.
The partnership will give the co-op access to a market forecast to expand markedly, says Judith Swales, Fonterra’s chief operating officer, velocity and innovation.
She forsees new business and market development opportunities.
“Fonterra is a global leader in protein and high value, advanced ingredients, so we should strive to be at the forefront of the active nutrition market. The partnership with Foodspring will accelerate our progress in the category by giving us direct access to a new consumer segment. This investment is a first for Fonterra and supports our strategy to grow in high value categories.
“Foodspring’s growth trajectory is supported by its direct-to-consumer channel and digital nutrition and wellbeing coach.”
Founded by Philipp Schrempp and Tobias Schüle, Foodspring is a Berlin start-up. Notable products include whey protein shakes and organic superfoods.
The products are sold online in Europe and Asia.
“We look forward to welcoming Fonterra Ventures on board and the synergies we can capture from our partnership,” says Tobias Schüle, chief executive and co-founder.
Says Komal Mistry, general manager Fonterra Ventures, “Our partnership with Foodspring is just the beginning: Fonterra Ventures has an exciting vision.”
The Germany company Goodminton AG is a venture capital-backed holding company that specialises in sports and lifestyle nutrition brands.
The deal is subject to approval by the German Federal Cartel Office.
