Arla to launch more high-end, tailored products for Chinese market

Arla, the world's largest organic dairy producer, said the company has prioritized China as a unique market, with ongoing investments that underscore its strong focus.

Harrison Cheng, vice-president and head of China, Arla Foods, said since entering the Chinese market 14 years ago with a focus on infant formula, Arla has expanded its offerings to include liquid milk, the Cocio chocolate milk series, high-protein drinks, as well as butter and cheese.

The company plans to continue enhancing its operations in China and leveraging its production and R&D capabilities to customize innovative products tailored to local consumers. Its infant formula business has recorded double-digit growth in the Chinese market.

Arla also aims to develop products in the high-end milk, yogurt, high-protein dairy, butter, and cheese categories in China.

Cheng cited the success of the Cocio chocolate milk series, launched in China last year. The product quickly gained popularity on social media, making China Cocio's second-largest market after Denmark. Arla plans to introduce new flavors specifically for Chinese consumers by 2025.

The company also showcased Arla Protein, a high-protein, low-fat, sugar-free pudding targeted at fitness enthusiasts and health-conscious consumers.

"We've seen growing interest among Chinese consumers in functional health products, especially those with high-protein content," said Cheng, adding that Arla's dairy products will increasingly shift toward high-value, functional options to meet these demands.

Arla's liquid milk portfolio in China now includes organic milk, organic A2 milk, children's milk, and flavored milk. The company also introduced a lactose-free product line, including a lactose-free liquid milk and lacto-free cream cheese with garlic and herb flavor. With the rising popularity of baked goods like bagels, Arla is optimistic about its spreadable cheese products.

In addition to focusing on early life and children's nutrition, Arla has developed products for older consumers, as China's aging population continues to grow.