New Zealand dairy giant Fonterra has announced a strategic partnership with the a2 milk company. Under the partnership, Fonterra will begin discussions with its farmer suppliers in New Zealand to secure a dedicated A2 milk pool to meet the growing demand for a2 milk products. The farmer co-op will also develop a similar A2 milk pool in Australia.

A2 milk is a specialist milk which is sourced from cows that produce A2 beta-casein proteins in their milk. From this dedicated milk pool, Fonterra will produce A2 milk powder for target markets in Asia and the Middle East.

The new partnership will also see Fonterra and the a2 milk company explore new opportunities for branded butter, cheese and liquid milk to be launched in New Zealand, Australia and China.