11:15 am today

A New Zealand sheep milk company scores a big win in China

11:15 am today
Spring Sheep chief executive Nick Hammond at the Children, Baby and Maternity Expo in Shanghai, China.

Spring Sheep chief executive Nick Hammond at the Children, Baby and Maternity Expo in Shanghai, China. Photo: Supplied / Spring Sheep

A New Zealand sheep milk company has scored a big win in China - gaining brand registration for its infant milk formula.

It is only the second international sheep milk brand in the world to achieve this direct market access.

The deal allows Waikato-based Spring Sheep to directly import and distribute infant formula to China - which long term will increase export volumes - and following two very challenging seasons, chief executive Nick Hammon said this deal was "highly significant and exciting".

Spring Sheep has 15 suppliers milking 15,500 ewes and 25,000 lambs are expected to be born over the next month.

Hammond has been in Shanghai at the country's largest mother and baby show, the Children, Baby and Maternity Expo (CBME), where the Spring Sheep infant milk formula has been launched directly to potential end users.

He said brand registration gives direct access to the $28 billion infant milk formula market.

"Prior to achieving this registration, we could only sell our infant formula range through a narrow set on on-line channels, and only in our English version.

"The brand did resonant well with consumers through these channels, and it became the second highest in its category in China, behind only the largest goat range in world.

"This registration enables direct import and distribution throughout China of our infant formula with the Chinese label, which is a vast majority of this massive market".

Brand registration, which takes years to achieve, gives a direct link with the government of China, which Hammond said enables the company to consistently deliver to the entire Chinese market which is much more stable than the on-line channel, "a real game changer for everyone, and especially Spring Sheep."

Spring Sheep's distribution partner in China is Neptunus Foods, which is part of one of the largest pharmaceutical groups in China.

Hammond said the brand recognition will be around selling New Zealand's grass-fed sheep milk story, linking back to the company's special Zealandia bred sheep.

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