Dairy giant FrieslandCampina has signed a contract manufacturing agreement with DMK Group for the production of mozzarella cheese, commencing next year.
As part of the agreement, FrieslandCampina will provide milk supplied by its members, while DMK will provide production facilities. In order to meet the increased production requirements, DMK is to modernise and expand its Georgsmarienhütte facility in Germany.
In a statement, FrieslandCampina said that the agreement was a 'real win-win situation for both dairy companies'.
“We have a strong portfolio in cheese and want to grow further in cheese types such as mozzarella," commented Hans Meeuwis, president of FrieslandCampina Dairy Essentials. "The cooperation with DMK fits in well with our strategy to further expand our process capacity through selective partnerships, besides own network investments.
"The co-manufacturing agreement will allow us to expand our portfolio in, among others mozzarella, to drive value with our members’ milk and to improve the service to our customers.”
Elsewhere, Ingo Müller, CEO of DMK Group said that the agreement means that the company will be able to "make maximum use of our plant structure".
© 2018 European Supermarket Magazine – your source for the latest retail news. Article by Stephen Wynne-Jones. Click subscribe to sign up to ESM: European Supermarket Magazine.