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Starbucks picks Arla for European drinks deal

Scandinavian dairy producer Arla Foods has signed a contract with Starbucks to produce and sell ready-to-drink beverages under the US coffee giant’s brand throughout Europe.

Starbucks picks Arla for European drinks deal

“We are proud to join with Arla Foods to bring our premium RTD beverages to consumers in Europe,” Starbucks’ global consumer products vice president Rich DePencier said in a statement.

Under the agreement, Arla — one of Europe’s largest dairy producers jointly owned by Danish and Swedísh farmers — will manufacture, distribute and market Starbucks’ premium milk-based ready-to-drink (RTD) coffee beverages throughout the European market.

The products, which are already sold widely throughout North America and Asia, will be sold at in supermarkets and convenience stores as well as Starbucks coffee shops.

Arla Foods’ subsidiary Cocio Chokolademælk A/S will manage most of the production.

“We are delighted to be entering into this partnership, which in many ways is a breakthrough for Cocio on the European market,” Cocio CEO Peter Giørtz-Carlsen said in a statement.

“Starbucks is one of the world’s largest coffee brands, and we will be working in a growing RTD category with premium, value-added products.”

Production of the drinks is expected to commence in the next few months at a Cocio facility located in Denmark.

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CLIMATE

Danish company to scrap plastic caps from millions of organic milk cartons

Dairy giant Arla is to stop using plastic screw tops on its one-litre organic milk cartons.

Danish company to scrap plastic caps from millions of organic milk cartons
Photo: Andrew Kelly/Reuters/Ritzau Scanpix

The decision by the company is part of an effort to reduce CO2 emissions, it said in a statement.

Much of Arla’s packaging – including the one-litre organic milk cartons – is already produced from renewable materials such as plants and trees.

By dropping the plastic caps, the company says it can reduce the CO2 footprint of each carton by 30 percent.

Consumers buy 74 million cartons a year of the product from which the plastic packaging component is set to be removed. Each individual plastic cap is responsible for emissions of 10 grams of CO2, according to Arla.

As such the emissions saving on the caps could reach 740 tonnes of carbon dioxide annually. The figures are based on emissions measured during the period October 2019 to September 2020.

Arla has previously declared its ambition to achieve CO2-neutral operations by 2050.

READ ALSO: Danish dairy giant wants CO2-neutral milk production by 2050

“We and our farmers have an ambitious target of becoming CO2 neutral, and we are reducing are emissions on an ongoing basis,” Arla Denmark country director Helle Müller Petersen said in the statement.

“Part of that work is to reduce the CO2 emissions from our packaging, for example by reducing the use of plastic,” Petersen added.

“It’s therefore an active choice for us to remove the screw top from the organic milk,” she said.

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