Viju Industries Nigeria Limited, makers of dairy-based fruit drinks which come in different flavours announced it was adding yoghurt drinks to its product line.
The Chinese dairy company which entered the Nigerian market in 2004 makes dairy-based fruit drinks derived from milk powder, sugar and fruit juice. Its sales have grown over the years and it now wants to add fast growing yoghurt segment to its product line.
According to a statement from the company, the new Viju Drinking Yoghurt comes in two variants – plain sweet and vanilla.
“Viju industries Nigeria Limited is known for its quality products, made from state-of-the-art machine.
“The plain sweet and vanilla flavours are fortified with energy, protein, fat, carbohydrate, other vitamin and calcium for stronger bones, healthy teeth, quick growth and muscular body,” the statement said.
The yoghurt segment of the dairy sector has seen strong growth in recent years, accounting for 20% of dairy sales of $2.6bn in 2014, according to Kevin Bellamy, global dairy strategist at Rabobank. This has attracted investments from foreign multinationals such as French dairy giant Danone, which in 2013 took a 49% stake in a joint-venture partnership with Abraaj Group, a Dubai private equity firm to buy Fan Milk, a Danish ice cream and yoghurt company with strong presence in Nigeria.
“Yoghurt is a high-margin business and in line with current trends in favour of healthy products; consumption in Nigeria, under normal economic conditions, will massively increase,” says Miguel Azevedo, head of African investment banking at Citi.
Other players in this segment include Chi Limited, Ranona Nigeria Ltd, a unit of Olam Group, L & Z Integrated Dairy Farms, Shagalinku, among others.