Now - the milk wars? In Panama, Coca-Cola enters the dairy market

Just a few month after PepsiCo made headlines with the purchase of Russian dairy giant Wimm-Bill-Dann (WBD), Coca-Cola bottler FEMSA followed suit, purchasing
Grupo Industrias Lacteas, a leading dairy and juice company in Panama.

While the company with 3 manufacturing plants and about 1800 direct employees is much smaller than WBD, still this means a significant move in FEMSA's strategy. 

According to Coca-Cola FEMSA, "this transaction (...) enables the Company to enter the milk and
value-added dairy products category, one of the most dynamic segments in
terms of scale and value in the non-alcoholic beverage industry in
Latin America."

It remains to be seen whether this strategy change will be extended beyond Panama. 

If the new dairy strategy will be further developed by both PepsiCo and Coca-Cola bottlers, the Cola wars might be replaced by a milk war. 


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