A2 Corporation’s joint venture in Australia is going into the yoghurt business.
A2 Dairy Products Australia (A2DPA) is a JV between New Zealand’s A2 Corporation and Australia’s Freedom Nutritional Products.
It has entered into a license and supply agreement to enable Jalna Dairy Foods to manufacture, market and sell a range of A2 branded yoghurts in Australia.
A2 Corporation owns and licences technology to identify milk with the A2 beta casein protein it claims has health benefits.
A2DPA has traded profitably since December last year, while A2 Corporation posted an after tax loss of $3.5 million for the 15 month period to June 30, 2009.
Executive director David Mair said the company’s ultimate goal was to expand beyond fresh milk supply and be included in a range of dairy products.
He said recently appointed chief executive Scott Pannell would present a report detailing strategic direction to the company’s board by the end of the year.
The license agreement with Jalna will enable it to produce co-branded A2 yoghurt using A2DPA’s intellectual property exclusively.
It was intended an initial range of Jalna A2 yoghurts will be launched in supermarkets during the first half of next year.