Orion announced on August 8 that it is entering the Vietnamese milk beverage market in partnership with Dutch Mill, Thailand's No. 1 milk beverage company.
Orion Vietnam acquired exclusive distribution rights for Dutch Mill products in Vietnam through a business agreement in December last year.
Founded in 1984, Dutch Mill holds a 70 percent share of the Thai milk beverage market with nutritionally enhanced products such as milk, yogurt, and soy milk, and exports to about 20 countries around the world.
In August, Orion will launch two shelf-stable brands, "Proyo!", a natural fruit-fermented yogurt drink for growing children, and "Choco IQ", a chocolate-flavored malted milk, with plans to expand the market by launching follow-up products in the future.
According to a global market research firm, the dairy market in Vietnam is expected to reach 7 trillion won by 2021. With 1.5 million newborns a year and rising income levels, parents are increasingly concerned about their children's growth and development, and demand for high-quality, nutritionally enhanced baby drinks is growing.
Leveraging the solid sales network that Orion has built for nearly 20 years since its establishment in Vietnam in 2005, the company plans to expand its sales outlets from general retail stores, which account for 70% of local distribution channels, to hypermarkets, convenience stores, and online.
