New alliance in the international dairy market

Bega Cheese and FrieslandCampina are believed to be behind a major bid for a significant part of Fonterra’s business in Oceania.

A new, powerful alliance has emerged in the international dairy market. Bega Cheese, in partnership with a Dutch dairy giant believed to be FrieslandCampina, has launched a joint bid worth AUD 2 billion for a significant portion of Fonterra’s consumer and foodservice business in Oceania, according to Dairynews.

This bold move signals a potential major shift in the region’s agricultural sector. The bid targets some of the most well-known dairy brands such as Anchor, Mainland, Western Star, and Perfect Italiano, with the aim of taking control of Fonterra’s operations in Australia, New Zealand, Southeast Asia, the Middle East, and Africa.

While Bega seeks regulatory approval from the Australian Competition and Consumer Commission (ACCC), ongoing legal disputes with Fonterra pose a significant obstacle. Fonterra has denied Bega access to its data room, further complicating the situation around the “change-of-control clauses” tied to the Bega brand.

The AUD 2 billion bid marks a major development with far-reaching implications for the global dairy market—especially given the legal and regulatory challenges that could impact the outcome.