Fairlife brand of KeNiuLe (Coca-Cola and Mengniu's joint venture) to hit markets 11-09-2021

On September 24, The Coca-Cola Company and Mengniu's joint venture, KeNiuLe, held a new product launch conference in Shanghai and announced the launch of the Fairlife brand to enter the low-temperature milk market. At the conference, KeNiuLe announced that the company would bring three types of low-temperature nutritious dairy products to customers, which are whole milk, low-fat milk, and chocolate milk.


Compared with the ordinary low-temperature fresh milk on the market, Fairlife is a modified milk with its own unique characteristics in terms of nutrients and shelf life. The packaging of each of its products contains the product's nutrition facts, according to which the protein and calcium in each product are 1.7 times and 1.26 times that of regular milk, respectively.


Taking protein as an example, the protein content of 100 grams of Fairlife reaches 5.3 grams, while ordinary low-temperature milk is around 3 grams. In addition, Fairlife milk can last for up to 28 days, while ordinary pasteurized low-temperature milk can usually last for 7 to 21 days.


Mengniu President Lu Minfang explained that the Fairlife dairy product consists of milk and other nutritious combinations. The nutritional content of milk is reconstructed through processing to retain what consumers need most, and the ingredients that consumers do not need, such as lactose, are no longer retained. There are also some fats, which use technology to increase the protein content to a high level while retaining good taste. Such milk is actually reconstituted milk, but still retains the good taste of fresh milk.


According to reports, in order to reconstruct the nutritional content of milk, the Fairlife series products adopt the internationally leading patented technology "UF Purification Ultrafiltration Technology" to retain more of the original nutrients in the milk and remove the burden on the human body from the milk from certain ingredients, such as lactose. Therefore, Fairlife products have many advantages such as high protein, high calcium, zero lactose, and relatively long shelf life.


China becomes Fairlife's first major international market

The Fairlife brand was established in the USA in 2014. At the end of 2019, Coca-Cola acquired the remaining 57.5% of Fairlife from its joint venture partners, thereby owning 100% of Fairlife.


According to Lu MingFang, Mengniu and the Coca-Cola Company have a strong connections. Over the years, the two sides have continuously cooperated in various fields, yielding fruitful results. As early as 2018, the two companies planned to start a strong partnership. In the summer of 2020, the two companies set up a joint venture company, KeNiuLe, and invested in the construction of a production base in Bengbu city of Anhui province and set out to introduce Fairlife's innovative dairy product to China.


Coca-Cola pivoting into general beverage market

Lu MingFang said that the construction took only 11 months, compared with 3 years for the construction of similar plants in the United States. In less than a year, KeNiuLe recruited high-end talents and quickly completed the formation of brand, sales and functional teams.


The launch of Fairlife products in China is another important move for Coca-Cola China to accelerate its transformation into an ‘all-category beverage’ company to meet the diverse needs of Chinese consumers.


Vamsi Mohan Thati, President of The Coca-Cola Company of Greater China and Mongolia stated that the company has always been committed to fulfilling its commitment to the Chinese market, providing Chinese consumers with more high-quality product choices, and contributing to the accomplishment of the goal of "Healthy China 2030."

 

For more information, please check our Dairy Products China News.




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