Distributor Acquisition Aims to Grow American Market for Dutch Cheeses

By Lorrie Baumann

Dutch dairy giant FrieslandCampina altered the distribution landscape for European cheeses last December with its purchase of both Jana Foods and Best Cheese Corporation USA. The acquisitions were part of a strategy to expand distribution of the dairy cooperative’s portfolio of Dutch cheeses in the American market and to provide a larger market for the milk produced on Dutch dairy farms, so FrieslandCampina is not currently planning to acquire any American cheese producers, said Gert Jan Poort, President of FrieslandCampina Dairy U.S.

FrieslandCampina originated as a local farmers cooperative in the Netherlands, and through several mergers has become the largest dairy cooperative in the world, with more than 18,000 dairy farmers in the Netherlands, Germany and Belgium and an average farm size with less than 200 cows, Poort said. “If it has 200 cows, it’s a big farm,” he said. “We have a fantastic sustainability policy – it’s a normal way of working.”

The FrieslandCampina cows are on pasture at least 120 days a year, Poort said. “Cows have the same habits as humans looking at the weather. When it’s snowing or raining, they want to be in the barn,” he said. “It’s always a very festive event when they go outside in the spring.”

“What we do with our customers from all over the world is to advise them to come to the Netherlands and see the farms, see the creamery,” he added. “They love it, and they want to buy. They love seeing the cows in the meadow, having the transparency and sourcing from the origin that is the most important thing. Buyers of the biggest retailers in the country are demanding this transparency, and we can deliver it.”

Delivering Dutch Cheeses to the American Market

FrieslandCampina acquired Jana Foods after working with Jana as an American importer and marketing partner for more than 20 years, and with the acquisition, the company is planning to build on the strength of its brands, A Dutch Masterpiece and Kroon, and to grow the Gouda segment in the United States. In its acquisition of Best Cheese Corporation, FrieslandCampina assumes American distribution of brands including Parrano, DeWaag, Melkbus and its expansive portfolio of Gouda styles made from cow, goat and sheep milk. “As a part of our transformative strategy, we continue to focus on delivering the best product to serve consumer needs,” said Roel van Neerbos, President of FrieslandCampina Consumer Dairy, in the company’s announcement of the Best Cheese acquisition. “The Americas is a strategic growth market for us. By acquiring Best Cheese and Jana Foods, we will be able to grow our cheese business in the region further.”
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In addition, the company will focus on educating the American market about other Dutch cheeses, including the classic Edam and other Dutch cow milk and goat milk cheeses, Poort said. “We want to expand and educate Americans about the cheeses themselves and also expand the occasions.”

New Products Launching Under Frico Brand

This year, FrieslandCampina is launching new convenient snack cheeses under its Frico brand, including Gouda Snack, packaged in eight 20 gram portions per resealable bag that will retail for $3.99 to $4.99 as well as a line of Cracker Cuts featuring cracker-sized Gouda, Mediterranean Herb and Goat Cheese. The Cracker Cuts will be merchandised in a display-ready case holding eight 7.05-ounce easy-peel and resealable trays. They’ll retail for $4.99 to $5.99. “We are going to make great progress in the snacking segment,” Poort said.

In addition to providing convenient snacking formats for consumers, the Frico brand is considering convenience in the merchandising options it provides to retailers, according to Debbie Seife, Marketing Director at FrieslandCampina. The new Frico Cheese Slices will be offered in easy-peel resealable trays sold in display-ready cases of 12 packages. “It’s a little different from what some of the other groups are doing,” Seife said. “It’s easy to stock and easy for consumers to shop.”

The Frico Cheese Slices line includes Gouda Mild, Edam, Emmental and Goat Cheese. The packages will retail for $3.99 to $4.99.

Frico will also be offering its Goat Cheese in a 5-ounce cup of freshly shaved cheese for consumers to add to salads, soups or flatbreads. The slightly crumbly cheese is made from 100 percent pasteurized goat milk naturally matured for 20 weeks. The cup will retail for $5.99 to $6.99.

The expanded Frico line will also include Cheese Loaves to slice behind the counter in Gouda, Maasdam, Emmental and Goat Cheese. The Gouda and Goat Cheese are both mild and creamy versions of the cheeses, while Maasdam and Emmental are Swiss-style cheeses with a firm bite and nutty flavors.