EUROPE – Bielefeld-based food manufacturer Dr. Oetker and Bavarian dairy producer Molkerei Gropper have set up a joint venture in order to pool their production, with each partner owning 50% of the venture.

On this basis, both companies will significantly intensify and expand sales in their respective market segments in future.

Dr. Oetker will be contributing its chilled products plant in Moers to the new company, while Molkerei Gropper will be effecting a capital increase in the same amount, which is to be used for investing in buildings, infrastructure and new production facilities.

The joint venture will be overseen by an advisory board consisting of an equal number of members from each of the two partner companies.

At operational level, the new company will be managed by a joint executive board appointed by the advisory board.

Production will include articles from both partner companies which will be marketed in Germany and internationally via the respective sales companies.

“In the new partnership, the two companies – which position themselves very differently in the market – will continue to produce their own products independently.

But both companies strive for more efficiency in production which will be possible in the future by working together under the umbrella of an ultramodern production facility in Moers,” said Dr. Martin Reintjes, Head of Sales at Dr. Oetker.

For Molkerei Gropper, the production joint venture was an important milestone in its strategic company development.

“For us, the new location is a positive response to our sustainable growth. The joint activities will take the strain off our main plant in Bissingen.

With the Moers plant, we will also be optimizing our supply chain for the north of Germany and neighboring European countries,” said Heinrich Gropper, owner and manager of Molkerei Gropper.

The joint venture’s plant will be focusing on further developing the desserts product category as well as on exploring new possibilities in the areas of quark, yoghurt, dairy and non-dairy beverages.

The new cooperation is to begin on April 1, 2018, subject to approval by German anti-trust authorities.