Arla Foods and the Egypt-based dairy company Juhayna have agreed to form a joint venture which will sell Arla’s products across Egypt.
Juhayna Food Industries is Egypt’s leading manufacturer of UHT-milk, yoghurt and juice. However, the company has a very limited production of butter, cheese and cream, which Arla has specialised in across the Middle East and Africa. Therefore the two companies will now form a joint venture company that will sell Arla’s products in Egypt.
Juhayna owns 51 per cent of the new joint venture company, while Arla owns 49 per cent. However, Arla will be in charge of the daily management of the joint venture. The ambition is for the company to also start up local production in Egypt.