Sun | Oct 25, 2020

Nestlé Jamaica enters powdered milk market under Everyday brand

Published:Thursday | September 24, 2020 | 6:18 PMNeville Graham - Business Reporter

Food marketing company Nestlé Jamaica has entered the powdered milk market under the Nestlé Everyday brand.

The product will compete with two other brands of powdered milk on the market, Lasco LaSoy and Anchor.

Nestlé had earlier this year re-entered the fresh whole milk market under a co-manufacturing deal with Seprod Limited. Its powdered milk is being produced under a co-manufacturing arrangement with Dairy Industries Jamaica Limited, DIJL, a member of the GraceKennedy conglomerate.

“In relaunching fresh cow’s milk, we realised that to the extent that Jamaica is a melting pot for persons from all walks of life, there are people who want something that is affordable and nutritious,” said Nestlé Country Manager Daniel Caron.

“Forty per cent of Jamaicans either have no running water or electricity or both, and that’s why there is a need for small-format products like these,” he said.

Nestlé Everyday is packaged in 80g sachets, but there are plans to add a larger 120g packet.

Dairy Industries is a joint venture between GraceKennedy Limited and Fonterra of New Zealand. In 1995, the company became the first in Jamaica to be certified to ISO 9001 standard. It produces processed cheese, a rage of yoghurts, and Anchor powdered whole milk.

“Based on investments in previous years, we already had the technology, capability, capacity, and certifications to meet Nestlé's needs and global standards; as such, the investment was minimal to take on the additional business,” said CEO of GraceKennedy Foods — Domestic, Frank James.

Nestlé entered the powdered milk market with a price strategy. Lasco’s soy milks retail at about $135 per 80g sachet, according to a quick sample of supermarkets, while Everyday sells for a lot less, according to Caron.

“We want to make sure that it is affordable,” he said. “So, in the market, depending on the channel, you can get it at anywhere between less than $100 and $108, and, importantly, it is milk, not soy-based,” he said.

The Everyday brand is part of Nestlé’s global line-up, now being brought to the local market.

“… There are opportunities to start exporting that brand from Jamaica,” Caron said.