In late September, Ausnutria entered into 3 framework agreements with Yili on processing, supply and procurement, aiming to deepen cooperation between the 2 companies.
Ausnutria, very successful with the brand Kabrita, has large scale capacity in powdered goat milk products and is a key supplier of goat whey protein which could be the key to the growth of Yili’s Golden Collar Crown IMF range; reciprocally, Yili supplies cow milk/whey base powders to Ausnutria for its cow milk formula development.
Yili took a 59% stake in Ausnutria in March, however the latter performance has been weak, which has indirectly also affected Yili’s overall performance.
To overcome this, the 2 partners signed several agreements which includes Yili purchasing the goat milk powder and related products from Ausnutria from the signing date to 31 December 2024; the exact supply volume of Ausnutria will be determined by individual purchase orders.
On the other hand, Ausnutria will purchase milk base powders and related ingredients from Yili from the date of agreement to 31 December 2024; the exact supply volume of Yili will also be determined by individual purchase orders.
