Fonterra Signs MOU with IFFCO on Dairy Farm In India

Fonterra is delighted to be working with IFFCO, the world’s largest farmer fertiliser co-operative with a membership of 50 million farmers, and GDH, which is highly respected in India.

15 Nov 2010 --- Fonterra Co-operative Group, the Indian Farmers Fertiliser Co-operative (IFFCO) and Global Dairy Health signed a Memorandum of Understanding to jointly conduct a feasibility study into a pilot dairy farm in India as a first step towards the vision of establishing large-scale world-class dairy farms in India.

Fonterra CEO Andrew Ferrier, IFFCO Joint Managing Director Rakesh Kapur, and Global Dairy Health (GDH) Director Paresh Chaudhry signed the agreement in Auckland today.

The ongoing feasibility study would firm up key parameters of the project and is expected to be completed shortly.

If it were to proceed, in phase one, the pilot farm could have a herd size of around 3,000-5,000 cows.

Mr Ferrier said the approach would be similar to that taken by Fonterra in China. Fonterra established a pilot farm for 3,000 cows in Tangshan in 2007. “India is a vibrant and growing market and we are excited by the potential opportunities there. We are delighted to be working with IFFCO, the world’s largest farmer fertiliser co-operative with a membership of 50 million farmers, and GDH, which is highly respected in India.”

Mr Kapur said: “We are delighted to partner with a reputable dairy leader like Fonterra. The synergy of two large co-operatives and dairy experts will help position India as a quality milk producer.”

Mr Chaudhry said “GDH was excited by the move which complemented GDH’s vision to establish state of the art integrated dairy farms. The consortium will help to bridge the vast production gap of high quality, safe milk that will provide high protein diet to the young and growing India".