Mongolia's Yili teams with Dairy Farmers of America

07/5/2013 | Global Times (China)

U.S. dairy cooperative Dairy Farmers of America has formed a partnership with Mongolia's Yili Industrial Group, although the companies gave few details about what the alliance will entail. Analysts said they expect the companies to form a joint venture with DFA possibly supplying raw materials to Yili for high-end products. "By forming an alliance with DFA, Yili will be able to have a stable supply of whey powder. This reduces Yili's risks and helps the company realize optimal allocation of resources," said dairy industry analyst Song Liang.

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