Fonterra Australia has signed a long-term supply agreement with organic baby food producer Bellamy's Organic, a move that Paul Grave says is "great" for the dairy co-op.
The Fonterra Farm Source Regional Head Waikato spoke to The Country Early Edition's Rowena Duncum about the agreement and to also give an
update on what's new with the co-op.
Grave says that Fonterra New Zealand has been working through the Australia team to have an alignment with Bellamy's, which is based in Tasmania, in an effort to "establish an organic milk pool there to take their product to the world."
The agreement will benefit Fonterra and its New Zealand shareholders says Grave.
"When our Australian business does well our New Zealand shareholders do well and I think this will really compliment what we do with our organic products here in New Zealand."
