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Fonterra's strategic focus on advanced infant nutrition: science and innovation

New Zealand 18.12.2023
Source: The DairyNews
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As the infant nutrition market continues to expand, Fonterra is at the forefront, leveraging science-backed advancements to meet evolving consumer demands for holistic and gut health products with functional and fortifying ingredients. In an exclusive discussion with Fonterra, we explore their approach to this dynamic space.
Fonterra's strategic focus on advanced infant nutrition: science and innovation
Fonterra emphasizes the significance of China in the infant nutrition landscape, given its substantial infant formula market size. The implementation of stricter product regulations in the country not only fosters market differentiation but also creates numerous opportunities for brands to introduce innovative and novel products.

Angela Rowan, Head of Innovation Advanced Nutrition at Fonterra, notes that parents worldwide are consistently invested in their children's growth and development. Their concerns encompass various aspects, including growth and height, digestive comfort, immune protection, brain development, emotional balance, mobility and energy, as well as emerging concerns related to environmental protection, such as pollution and digital device usage for activity levels and eye health.

In response to these concerns, Fonterra highlights its commitment to research and develop high-quality ingredients, meeting parents' needs for products like hydrolyzed protein-based offerings that promote digestive comfort and tolerance. The company observes a trend in differentiated positioning for infant formula, focusing on natural formulations, such as using milk fat instead of palm oil. Organic and grass-fed credentials are also promoted, aligning with the broader trend toward natural formulations with nutritious ingredients and a "free-from" approach to artificially produced ingredients.

Key ingredients gaining traction in the infant formula market include probiotics, alpha-lactalbumin, phospholipids, milk fat globule membranes (MFGMs), sn-2 palmitate, oleic-palmitic-oleic (OPO) acid, peptides, lactoferrin, and human milk oligosaccharides (HMOs). Fonterra recognizes the importance of continually researching and developing these ingredients to enhance formula quality and support infants' cognitive development.

Rowan underscores the impact of regulatory changes on infant nutrition trends, citing China's implementation of lower protein limits as a driver for increased focus on higher-quality protein ingredients and amino acid fortification. Additionally, there is a shift toward using natural ingredients like whole milk powder and milk fat, potentially reducing reliance on palm oil.

"In our research and development at Fonterra, the benefits of alternatives like milk fat, with its fatty acid profile, natural sn-2 palmitate aiding digestion, and the presence of MFGMs, play a significant role," Rowan explains. The company is also exploring the possibilities of plant-based products in the infant nutrition space, acknowledging the challenge of achieving the required amino acid profile in low protein formulations while meeting parents' flavor and taste expectations.

Fonterra's strategic focus on advanced infant nutrition reflects a commitment to blending scientific expertise with innovative solutions to meet the evolving needs of both infants and their parents in a dynamic market.

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