Australian Dairy Nutritionals Group tips big year as organic a2 milk strategy falls into place

Australian Dairy Nutritionals Group is making big headway in its organic a2 strategy, expecting it to pay big dividends.

Australian Dairy Nutritionals Group’s factory at Camperdown is expected to be producing organic a2 infant formula by the middle of the year.

Camperdown milk company Australian Dairy Nutritionals Group is expecting its strategy of building a vertically integrated organic a2 dairy business to pay big dividends this year.

The company, which recently topped up its dairy farms with a herd of Jersey a2 cows, is about to put fresh organic a2 milk on Woolworths’ supermarket shelves and is on track to have infant formula rolling out of its new manufacturing plant at Camperdown by the middle of the year.

It comes on top of the long-awaited release of its Gradulac “tummy health” infant formula, an agreement with a Tier 1 Chinese company to get its baby formulas into the lucrative cross border e-commerce trade into China and a separate joint venture deal with Wellnex Life for distribution of product into Australian and Chinese retail outlets.

ADNG director Adrian Dowling told the company’s annual general meeting today: “This year is shaping up to be the most exciting year in the company’s history.”

Company chairman Martin Bryant rejected suggestions from a disgruntled shareholder the company had made too many mistakes over a number of years.

“We have established a strong and sound position on where we are today and where we expect to be in the future,” Mr Bryant said.

“If you talk about China, we have very direct opportunities to that market that many others can’t compete with.

“But its about having that product, which is what we are developing today.

“We have achieved our strategy.

“The next step is to profit from that strategy.”

Martin Bryant holds cans of its Gradulac tummy health formula today.

ADNG announced yesterday that Woolworths had agreed to sell the dairy company’s Future infant formula range on the supermarket chain’s Everyday Market sales network and would add the organic a2 infant formula once it was launched mid-year.

The Woolworths Everyday Market is an online marketplace where supermarket customers can buy products from third parties, such as ADNG, while shopping for groceries.

The dairy company told shareholders today it was expecting the first of its fresh organic a2 milk to be stocked of Woolworths supermarket shelves from the first or second week in February.

ADNG chief executive Peter Skene said the herd of Jersey a2 cows was an opportunity that arose just before Christmas.

They were now on the company’s Brucknell property and should receive organic certification in July.

Mr Skene said Australian Dairy Nutritionals Group now had the biggest pool of organic a2 milk in Australia.

Peter Hemphill’s family holds shares in Australian Dairy Nutritionals Group.