Dutch giant bullish on dairy in China

Dutch global dairy giant Royal FrieslandCampina is bullish on the long-term growth of dairy market in China and plans to expand its business in third- to six-tier cities and rural areas.
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Together with Chinese retail giant Suning Commerce Group, it plans to launch online andoffline stores to bring high-quality Dutch dairy products to rural areas in China next year. It willhelp improve sales of local agricultural products through online stores to city consumers.
«Developing rural e-commerce is a long-term project. Suning plans to build an e-commerceplatform that will help drive rural economic growth,» said Sun Weimin, Suning’s vice-chairman.
Established in 1871, Royal FrieslandCampina has become one of the world’s largest dairyproducers. Last year, it netted about 1 billion euros ($1.13 billion) in sales revenues in China,posting double-digit growth year-on-year.
The company expects the Chinese dairy market to grow significantly following the country’snew two-child policy.
Royal FrieslandCampina said despite the high potential and tremendous growth space in ruralmarkets, rural consumers lack scientific and health knowledge. It will organize seminars onnutritional diet, mother and baby care, and send 20 nutritionists to provide nutritionalconsultancy in Suning stores in rural areas.
Royal FrieslandCampina donated an initial 1 million yuan ($151,900) to the China Foundationfor Poverty Alleviation, to train women in impoverished rural areas to become certifiedmaternity service workers.
In the first year of the project, the company plans to train 100 women who come from poverty-stricken villages in Anhui, Henan, Hebei and Gansu provinces. The dairy producer will useprofessionals to provide training in pregnancy and birth, nutrition and nursing care for mothersand infants, and early childhood education, to arm those women with professional skills andimprove their lives.
It said the training will also help meet the increasing demand of maternity matrons in cities asthe new national policy, which encourages couples to have two children as against one in thepast, accelerates the demand for qualified nursing care services.
«We originated from a Dutch village and has about 19,000 farmers as our shareholders. Thisis why we have strong bond with villages, farmers and agriculture,» said Roelof Joosten, chiefexecutive of Royal FrieslandCampina.
«We have noticed the dilemma of the undersupply of qualified maternity matrons and the hugedemand in Chinese cities,» he added.
«I believe the project will help these 100 women upgrade their professional skills, find a well-paid job, and also free working mothers from difficulties in finding reliable and professionalservices.»

Mirá También

Así lo expresó Domingo Possetto, secretario de la seccional Rafaela, quien además, afirmó que a los productores «habitualmente los ignoran los gobiernos». Además, reconoció la labor de los empresarios de las firmas locales y aseguró que están «esperanzados» con la negociación entre SanCor y Adecoagro.

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