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Fonterra Targets Rising Demand for Butter in Chinese Mooncakes

New Zealand 19.09.2024
Source: DairyNews.today
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New Zealand’s dairy powerhouse, Fonterra, is capitalizing on a growing trend in China’s bakery market by supplying butter for mooncakes, a traditional pastry consumed during the Mid-Autumn Festival.
Fonterra Targets Rising Demand for Butter in Chinese Mooncakes
As families across China and other parts of the world celebrate the festival, many are enjoying mooncakes made with butter produced in Fonterra’s Edgecumbe facility, located in the Bay of Plenty on New Zealand’s North Island.

Fonterra’s lamination butter sheets, designed to create soft and flaky pastries, are increasingly popular in Chinese bakeries. With New Zealand’s spring season bringing abundant grass growth and increased milk production, the company is well-positioned to meet the strong demand for its butter sheets, which have become a key ingredient in mooncakes. Traditionally, mooncakes were made using plant-based fats such as lard or vegetable oil, but a noticeable shift toward dairy-based ingredients has occurred, particularly among premium bakeries in China.

“Chinese consumers are increasingly favoring dairy over plant-based products, which presents a significant opportunity for us,” said Janek Tomaszewski, Fonterra Edgecumbe’s Cream Plant Manager. He noted that butter, once uncommon in Chinese pastries, is now a popular ingredient in mooncakes and egg tarts, further expanding Fonterra’s market potential.

Over the past three years, demand for Fonterra’s butter sheets has surged, with Edgecumbe exporting more than 8,300 tons of butter sheets last season, primarily to China and Southeast Asia. The site, which processes up to 3.7 million liters of milk daily during peak production, is playing a crucial role in meeting the needs of this expanding market.

With Chinese bakeries increasingly incorporating butter into traditional recipes, Fonterra’s continued investment in dairy innovation is positioning the company to take full advantage of this evolving consumer preference.

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