Blue River Dairy navigates market challenges with premium sheep and goat products
3 Sep 2024
Despite challenging market conditions, Southland-based infant and toddler nutritional products manufacturer Blue River Dairy is maintaining steady progress. While demand for their sheep and goat milk ranges is holding ground, the company acknowledges that meeting this demand has been a significant challenge, particularly given the current economic climate.
Last year was a pivotal period for Blue River Dairy, marked by the successful registration of upgraded formulations for their sheep, goat, and bovine-based dairy products. These upgrades were necessary to comply with new regulations for infant and toddler nutrition exports to China. Companies wishing to export formula products had to meet the required standards as well as pass rigorous audits. This regulatory shift provided Blue River Dairy the opportunity to enhance their formulations in line with the latest advancements in food and nutrition science, ensuring they continue to offer premium nutritional formulas for parents and their little ones.
General Manager Robert Boekhout acknowledged the considerable effort the team invested in upgrading their products, resulting in the re-registration of three leading brands using sheep, goat, and cow milks.
“While we've seen consistent demand for our upgraded sheep and goat products, it's clear that meeting this demand is an ongoing challenge. The market is tough, and we're doing our best to navigate these conditions,” he said.
The current market is marked by slow growth, with many businesses struggling due to China's low birth rate and slowing economy. Blue River Dairy’s focus on premium, high-quality nutrition using a variety of milk sources has provide some insulation, but the company remains cautious.
To address supply chain challenges, Blue River Dairy has implemented several measures, including air-freighting a steady portion of products to market to ensure uninterrupted supply. They have also extended shift hours and increased factory operations since June, hiring additional operators to support this expansion.
Reflecting on the company's current position, Boekhout added, "Our sheep and goat products continue to perform well under difficult circumstances. We attribute this to the premium quality and trusted reputation of our brand. However, we are mindful of the broader challenges and are working hard to maintain our position in the market."
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