SML
18/06/2015 12:43
GENERAL
PRICE SENSITIVE
REL: 1243 HRS Synlait Milk Limited (NS)
GENERAL: SML: New partnership and milk supply opportunity announced
Synlait Milk announced a new partnership with United States company, Munchkin
Inc., and a subsequent premium earning milk supply opportunity at its annual
milk supply conference held in Christchurch today.
Munchkin, an innovative baby products manufacturer, plans to launch a new
Grass Fed branded retail-ready infant formula into the United States and
China that will be manufactured exclusively by Synlait.
Strategically, Synlait has been looking at opportunities that reduce its
exposure to China. Munchkin, with its focus on the United States market, is a
potentially important addition to Synlait's growing portfolio of retail-ready
infant formula customers.
The raw milk used to manufacture the unique infant formula is subject to a
new Grass Fed standard co-developed by Munchkin and Synlait. It requires cows
to be exclusively grazed on a pasture and crop based diet, with no feeding of
grain, or feed not grown in New Zealand. Farmers will be independently
audited to ensure they meet, and maintain the standard.
Grass Fed is a unique value added opportunity that will reward a small group
of Synlait suppliers who choose to follow the new standard by paying them a
premium for their milk, over and above the base milk price.
End CA:00265879 For:SML Type:GENERAL Time:2015-06-18 12:43:21
