Del Monte Philippines to distribute, market Vietnam firm Vinamilk’s products in Philippines

Food manufacturing giant Del Monte Philippines Inc. (DMPI) has partnered with Vietnam Dairy Products JSC (Vinamilk) to expand its presence in the country’s dairy sector.

In a disclosure to the Philippine Stock Exchange, parent firm Del Monte Pacific Ltd. said DMPI entered into a joint venture with Vinamilk with both companies contributing 50% of the total investment capital.

“The joint venture will import dairy products from Vinamilk, and market and distribute them in the Philippines through DMPI,” Del Monte Pacific said.

The company said the joint venture with DMPI will leverage on Vinamilk’s successful long track record in the dairy industry spanning 45 years.

Vinamilk is among the top 40 largest dairy companies globally, ranked 36th by revenue with $2.6 billion in sales in 2020.

It is also the largest listed food and beverage company in the stock exchange of Vietnam with a market capitalization of $9 billion.

DMPI, on the other hand, is a leading producer, marketer and distributor of premium quality, healthy food, and beverage products.

DMPI’s entry into the dairy sector is consistent with its health and wellness platform and its value-added offerings, according to Del Monte Pacific.

The joint venture will co-brand both DMPI and Vinamilk products.

With the Philippines having the second largest population in Southeast Asia but with a relatively low per capita consumption of dairy products, Del Monte Pacific said the

DMPI-Vinamilk joint venture provides an opportunity for growth in the domestic dairy industry.

“The joint venture will combine the strengths of Del Monte and Vinamilk, leveraging Vinamilk’s technical and manufacturing expertise for developing value-added product offerings anchored on quality, health and functional benefits, while also leveraging the brand and extensive distribution network of DMPI in the Philippines,” the company said. — Ted Cordero/BM, GMA News