Dominico Zapata/Things
Fonterra is targeting the wellness nutrition market as it seeks to get more value for its milk.
Fonterra is launching a new brand to tap into the growing wellness market as it seeks higher value products for New Zealand milk.
The nation’s largest dairy company launched the Nutiani brand, which will use its intellectual property and research to help its business customers develop products in areas such as nutritional supplements, sports nutrition, medical nutrition, and generic health and wellness.
“Fonterra’s deep expertise in nutrition science gives us an incredible advantage here,” said Komal Mistry-Mehta, Chief Innovation Officer and Chief Brand Officer.
“We will use Fonterra’s existing expertise in nutrition science to develop targeted solutions, while also opening up opportunities for strategic partnerships to provide access to new markets and consumers.”
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riddet institute
A Riddet Institute study found that plant-based ‘milk’ beverages provide only a fraction of the nutrition that cow’s milk provides and are more expensive.
Fonterra is stepping up its spending on innovation and science to move its milk to higher value specialty nutrition products while looking for ways to increase profits in an environment where milk volumes are no longer increasing.
The cooperative targets the $66 billion (NZ$108 billion) global market for nutrition for physical, mental and inner well-being, which is growing at a rate of 6% per year, and the medical nutrition market of $50 billion, growing at a rate of 5% per year. swing.
Supplied
Fonterra brand and innovation director Komal Mistry-Mehta sees ‘huge’ potential in the wellness nutrition market.
Mistry-Mehta said Fonterra’s customers were facing increasing pressure to accelerate their innovation process in response to consumer demand and were looking for partners to help them identify and develop new products.
Four in five consumers had become more health-conscious since the Covid-19 pandemic, it said, citing Euromonitor research.
“There is no question that people are paying more attention to wellness and managing it through diet,” he said. “The potential is huge.”
The research showed that 96% of consumers actively managed their well-being, and more than half of these consciously managed their diet to improve their well-being, it said.
Fonterra expected North America, North Asia, China and Southeast Asia to be big markets for Nutiani, he said.
