Food and Beverage Business

Meiji increases investment for Danone tablet formula production in Europe

Meiji increases investment for Danone tablet formula production in Europe Danone, Meiji Holdings Food and Beverage Business

In the food and beverage industry, Meiji is making significant investment in Danone’s tablet infant-formula production at the latter’s plant in Ireland, bolstering its efforts to meet increasing consumer demand for its products in the European market. Through its subsidiary Meiji Food Europe, the Japanese company is injecting €10.5m ($11.5m) to enhance the production capacity of the pre-measured dissolvable tab format formula introduced in the UK under Danone’s Aptamil brand.

The initiative aims to cater to the growing demand for this innovative infant formula, which has been well-received in the UK and subsequently rolled out in other European markets such as France, Italy, Estonia, Latvia, and Lithuania. With the new funds, Meiji Holdings intends to support Danone in boosting the production capacity with the installation of state-of-the-art equipment, designed based on the technology at Meiji’s Saitama factory, to enhance efficiency.

Commenting on the investment, Meiji Holdings stated, “The amount will be equivalent to the amount of investment for increasing production capacity.” Sound business decision-making and strong confidence in this venture are evident as the parent company elaborates, “New production equipment will be designed based on the state-of-the-art production equipment at Meiji’s Saitama factory and is expected to provide efficiency.”

This investment builds upon the memorandum of understanding between Meiji Co. and Danone announced in May 2020. The new production funding is incremental to the €22.5m already invested by Meiji Co., demonstrating its continued commitment to the success of the partnership. Through this collaboration, Danone has been able to source and produce the formula milk in the new tab format locally for the UK market, thereby contributing to the reduction of carbon footprint.

According to Meiji Co’s statement, “The tablets will be produced by Meiji’s only tablet production technology using Danone infant-formula recipes.” Following this installation of Meiji’s tab production technology at Danone’s formula-milk facility in Wexford, Ireland, Danone aims to meet the increasing market demand for its innovative infant formula, making a valuable contribution to the food and beverage industry.

Additionally, the Japanese business has provided €22.5m in the venture, further underlining its commitment to the success of the partnership with Danone.

“Leveraging its advanced tablet production technology, Meiji plans to continue supporting Danone’s mission to enhance its production capacity and deliver high-quality infant formula in the European market,” a Meiji company spokesperson mentioned. Furthermore, he added: “We are confident about the unique quality of our Company Profiles. However, we offer a free sample that you can download by submitting the below form. By GlobalData.”

For a detailed insight into this collaboration and other significant players in the food and beverage industry, you can view comprehensive Company Profiles available at the GlobalData store. These profiles are powered by GlobalData and can save hours of research, providing a competitive edge in the food and beverage market.

This investment is indicative of Meiji Holdings’ unwavering support towards joint growth and success in the food and beverage industry, highlighting its long-term commitment to strengthening Danone’s production capacity and market presence.

Related posts

Impairments related to Chinese dairy challenges impact Meiji profits

FAB Team

Lifeway Foods at the Center of Family Feud as Legal Battle Looms

FAB Team

Danone removes plant-based products from US stores

FAB Team