Fonterra has announced, starting from today, it is signing up farms to supply milk for The a2 Milk Company in the 2019/2020 season.
Mike Cronin, Fonterra Managing Director of Co-operative Affairs, says that signing up New Zealand farms to increase the supply of high quality milk to The A2 Milk Company is a "positive step forward".
"It clearly shows the strength of our strategic relationship, and our shared commitment to fast-track market growth and enable farmers to create additional value from their milk."
Jayne Hrdlicka, The a2 Milk Company Managing Director and CEO, says the company is pleased to be making progress on their relationship with Fonterra.
"These farms will help support new growth areas for our company across existing and new markets. This is the next step in what we believe will be a fruitful long-term relationship with tremendous potential".
The Co-op’s initial milk pool will be based around its Hautapu site in the Waikato as it has the ability to manufacture the specific product in demand, produce relatively small batches and adapt easily to any product demand changes.
Fonterra says it anticipates around 100 farms will be needed for next season.