Fonterra, a New Zealand-based dairy co-operative, has backed a new dairy cooperation agreement between the governments of New Zealand and Sri Lanka.
Under the agreement, Fonterra along with the New Zealand government is expected to boost the latter's dairy development investment in Sri Lanka over the next ten years.
Commenting on the deal, Fonterra director and farmer-shareholder John Monaghan said that the agreement will help formalize and support further public and private sector dairy sector cooperation between the two countries.
Fonterra, which has been collecting milk in Sri Lanka for the last 16 years, is seeking to invest in model farms to both train local farmers as well as provide a sustainable milk source for its fresh dairy business; invest in more milk collection centers, and build on the Farmer Education and Development program to ensure more farmers are producing larger volumes of high quality milk.
Fonterra Brands Lanka managing director Leon Clement said, "By investing in local farmer education and development, as well as training local employees at our own milk collection centers, we have already significantly enhanced the quality of the milk collected over the last decade.
"Under the Dairy Cooperation Agreement, Fonterra will look to build on this further, continuing to focus on both milk production and milk quality."
Fonterra claims that it has raised local milk collection of locally produced fresh milk to 30,000 liters, everyday.
