Fonterra Targets Japan’s Growing Demand for High-Value Dairy Ingredients
Source: The DairyNews
Fonterra, a prominent New Zealand dairy cooperative, is actively expanding its presence in Japan, capitalizing on the increasing demand for high-quality dairy products tailored to support healthy living. During a recent business delegation to Tokyo, which included New Zealand Prime Minister Christopher Luxon, Fonterra showcased its commitment to leveraging its dairy science expertise to meet Japan’s nutritional needs.
Simon Tucker, Fonterra’s Director of Global Sustainability, Stakeholder Affairs, and Trade, emphasized the strategic alignment between Japan's market demands and Fonterra’s offerings, particularly in the realm of healthy aging. “Our grass-fed dairy products are particularly appealing in Japan, where there is a significant, growing demand for foods designed to support an aging population,” Tucker noted.
Fonterra has developed a range of protein ingredients and other dairy solutions that cater specifically to the Japanese market, often in direct collaboration with local customers to ensure they meet precise consumer needs. These products are not only prevalent in specialty health food stores but are also readily available in mainstream outlets such as 7-Eleven, where consumers can find protein-fortified drinks and yogurts made with milk from Fonterra’s farmers.
The company’s research indicates that Japanese consumers are willing to pay a premium—up to 50% more—for dairy products that offer enhanced health and nutritional benefits. This is particularly relevant in Japan, which is grappling with demographic shifts towards an older population. Fonterra’s dairy products are engineered to help maintain muscle mass, improve mood, and support immune and digestive health, addressing key concerns of the aging demographic.
In addition to protein-rich products, Fonterra is also strengthening its position in the Japanese cheese market, further diversifying its dairy ingredient offerings through direct sales channels.
As the world’s fourth-largest economy and New Zealand’s fifth-largest export market, Japan offers substantial opportunities for Fonterra. The company is committed to deepening its engagement in this market, focusing on science-driven innovations and high-quality dairy ingredients that meet the sophisticated demands of Japanese consumers.
Fonterra has developed a range of protein ingredients and other dairy solutions that cater specifically to the Japanese market, often in direct collaboration with local customers to ensure they meet precise consumer needs. These products are not only prevalent in specialty health food stores but are also readily available in mainstream outlets such as 7-Eleven, where consumers can find protein-fortified drinks and yogurts made with milk from Fonterra’s farmers.
The company’s research indicates that Japanese consumers are willing to pay a premium—up to 50% more—for dairy products that offer enhanced health and nutritional benefits. This is particularly relevant in Japan, which is grappling with demographic shifts towards an older population. Fonterra’s dairy products are engineered to help maintain muscle mass, improve mood, and support immune and digestive health, addressing key concerns of the aging demographic.
In addition to protein-rich products, Fonterra is also strengthening its position in the Japanese cheese market, further diversifying its dairy ingredient offerings through direct sales channels.
As the world’s fourth-largest economy and New Zealand’s fifth-largest export market, Japan offers substantial opportunities for Fonterra. The company is committed to deepening its engagement in this market, focusing on science-driven innovations and high-quality dairy ingredients that meet the sophisticated demands of Japanese consumers.
