F&N believes it has strengthened its foothold in the Indochina market by securing these extended rights.
PETALING JAYA: Fraser & Neave Holdings Bhd
(F&N) has obtained exclusive rights from Nestle to manufacture, distribute and market Nestle’s Bear Brand sterilised milk products directly to end-consumers in Cambodia.
The contract, which is an extension of its licence agreements originally granted by Nestle in 2007 and subsequently renewed in 2015, was effective as of March 1, 2023 through to 2037.
Previously, F&N was only the producer of the Bear Brand sterilised milk in Cambodia.
F&N believes it has strengthened its foothold in the Indochina market by securing these extended rights.
In a statement, F&N said it currently manufactured and distributed the Bear Brand sterilised milk and gold milk for Thailand and Laos.
“In addition, the group also manufactures, promotes and distributes the Carnation brand in Thailand, Laos and Cambodia,” it said.
It also sells the Carnation canned milk, Ideal evaporated milk and Milkmaid sweetened condensed milk and sweetened beverage creamer in Malaysia, Brunei and Singapore, with its contract up till 2037.
F&N chief executive officer (CEO) Lim Yew Hoe said the expanded term indicated the confidence Nestle had in F&N.
Apart from that, Lim believes it is a strategic partnership that allowed both companies to generate synergistic values by leveraging on each other’s strengths in the region.
“Together with our newly completed milk and plant-based beverages factory in Wang Muang, F&N intends to play a much bigger role in the liquid milk segment,” Lim noted in the statement.
Meanwhile, Nestle Indochina chairman and CEO Victor Seah said Nestle’s partnership with F&N has been fruitful.
Seah believes the partnership is able to create greater synergy and scale, which will ultimately benefit the end-consumer.
“Nestle in Indochina will continue to work with F&N to provide quality products to consumers based on our vision of unlocking the power of food to enhance the quality of life for everyone, today and for generations to come,” Seah noted.
F&N Dairies (Thailand) Ltd managing director Suchit Riewcharoon said F&N now provided its consumers in Thailand, Cambodia and Laos with end-to-end services, strengthening its regional strategy for Bear Brand products.
“This will enable us to harmonise our trade and marketing activities, providing a seamless and consistent experience for our valued customers,” he said.
