Arla Foods Ingredients and distributor Zhongbai Xingye Food Technology (Beijing) Co., Ltd (Zhongbai), have signed a new distribution agreement to serve the Chinese food and nutrition markets.
Zhongbai, part of the Brenntag Group, has a longstanding working relationship with Arla Foods Ingredients. Currently, the manufacturer offers various food and nutrition ingredient solutions in China and globally.
Over the course of their 15-year collaboration, the two companies have expanded their market share in China. Effective immediately, the new agreement will cover all of Arla Foods Ingredients’ business units, with emphasis on growth potential in segments such as bakery and beverages.
Adapting and Expanding for the Market
The agreement between the two companies also includes the expansion of a jointly funded Innovation and Application Centre in Zhongbai’s Beijing facility, where China-specific formulations are developed.
Luis Cubel, commercial director of Arla Foods Ingredients, stated, “This agreement will help us adapt and strengthen our offering to the Chinese markets. Zhongbai brings a wealth of expertise and local knowledge. Over the past 15 years, our partnership has been highly productive. We are excited about this new opportunity to cooperate even further and continue investing in one of the world’s most important nutrition markets.”
Michael Friede, CEO of Brenntag Specialties, added, “This agreement builds upon solid foundations. Our working relationship with Arla Foods Ingredients has driven growth for both companies in China, thanks to their expertise, capacity, and understanding of market needs. We are eager to join hands as market leaders and make the most of the opportunities that lie ahead for future growth in this highly attractive specialties market.”
