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Yili closes deal with DFA in setting up US dairy plant

(English.news.cn)

Updated: 2014-11-15

HOHHOT, Nov. 13 (Xinhua) -- Inner Mongolia Yili Industrial Group, one of China's largest dairy providers, has signed a deal with US milk cooperative Dairy Farmers of America (DFA) to set up a world class dairy plant in Kansas.

The joint venture has a registered capital of $100 million with Yili holding 30 percent of the stake, according to a bulletin published by the Shanghai-listed firm on Thursday,

The new plant plans on producing 80,000 tonnes of dairy powder a year.

Zhang Jianqiu, CEO of Yili, said bridging American dairy farmers with Chinese consumers, the project was a win-win deal. For the Yili, it improves dairy making technology and quality management.

Yili reaped net profit of 2.3 billion yuan ($374.6 million) in the first half of this year, a jump of 31.93 percent year on year, ranking first among Chinese dairy producers, according to a company report in August. The dairy company's operating revenues during the period reached 27.3 billion yuan, up 13.59 percent year on year.

High-speed train debuts in Inner Mongolia

A bullet train departed Hohhot East Railway Station for Ulanqab marking the start of high-speed rail services using Inner Mongolia’s first newly-laid high-speed railway on Aug 3.

Grassland Tales From Inner Mongolia

This year marks the 70th anniversary of the establishment of the autonomous region, during which various celebrations are planned to showcase its prosperity and ethnic diversity.

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