Dairyworld Foods Forms New Milk Company with Parmalat Canada

Dairyworld Foods (Burnaby, BC) and Parmalat Canada (Etobicoke, ON) have signed an agreement to join forces to market and process fluid milk. The new company, Maxima Foods Ltd., will be a 50:50 joint venture between the two companies. The agreement only applies to fluid milk.

Both Parmalat and Dairyworld will continue to operate other dairy and food businesses, including yogurt products, cheese and dairy ingredients, none of which is affected by the deal. It will however include a long-term supply agreement for raw milk with Agrifoods International Cooperative Ltd., the cooperative parent of Dairyworld Foods. Both parties hope to have the agreement completed by January 2000.

Edited by Christine Fraser