Fonterra exits Russian joint venture

Due to the war in Ukraine, Fonterra has withdrawn from the Russian joint venture Unifood. Earlier already for that reason the New Zealand dairy cooperative stopped exporting to Russia.

By now also leaving Unifood, Fonterra is withdrawing completely from Russia. A sales office in Moscow is closed and the staff are relocated as much as possible.

Fonterra had been doing business in Russia for forty years, but the exit is not a loss for dairy exports. CEO Miles Hurrel expects sales to be easily distributed across other markets, especially now that dairy is very scarce worldwide. In addition, Russia was a relatively small sales market.

Wouter Job

Wouter Baan is Head of Meat & Dairy at BoerenbusinessAt DCA Market Intelligence, he focuses on dairy, pork, and meat markets. He also monitors (business) developments within agribusiness and interviews CEOs and policymakers.

w.baan@boerenbusiness. Nl

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