Arla cream cheese
Arla Foods is an international dairy company owned by 11,200 farmers from Denmark, Sweden, the U.K., Germany, Belgium, Luxembourg and the Netherlands.
 
VIBY J, DENMARK — Arla Foods has partnered with PT Indofood CBP Sukses Makmur Tbk (ICBP) in a joint venture that is expected to expand Arla Foods’ presence in the Indonesian market. In creating the joint venture, Arla Foods said it is taking another step in its “Good Growth 2020” strategy, which is focused on strategic growth in global markets.

 

The new company will be called Arla Indofood Sukses Makmur. Arla Foods will control 50% of the joint venture (plus one share), while ICBP will control 50% (minus one share).

Tim Oerting
Tim Ørting Jørgensen, executive vice-president of international business at Arla Foods.

“We are pleased to enter into a partnership with ICBP, who has strong experience with dairy and has an extensive FMCG distribution network in Indonesia with access and relationships to all key retailers,” said Tim Ørting Jørgensen, executive vice-president of international business at Arla Foods. “Teaming up with ICBP will allow us to offer our high-quality dairy products to more Indonesian consumers.”

Axton Salim, director of ICBP, said the partnership gives ICBP access to “a strong innovation and research platform.”

Axton Salim
Axton Salim, director of ICBP.

“Arla is also one of the leading global brands associated with European quality,” he said. “This collaboration will complement our existing dairy business in Indonesia.”

While the collaboration is centered on the sales, distribution and production of dairy products, ICBP maintains a strong foothold in the overall consumer branded products sector. The company also is involved in noodles, snack foods, food seasonings, nutrition and special foods, and beverages. ICBP also operates a packaging business, producing flexible and corrugated packaging to support its main business.

Arla Foods is an international dairy company owned by 11,200 farmers from Denmark, Sweden, the U.K., Germany, Belgium, Luxembourg and the Netherlands.