"By establishing those farms in the first place we did our part to develop the Chinese dairy industry, and we're very pleased now to be able to hand those over to Youran for the next phase of development."
The fast-moving China market inspired Fonterra to keep innovating, and the team would continue to focus on creating value from New Zealand milk through new products, applications and close partnerships with customers, Rivers said.
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"You can see that from the first half-year financial results - just the importance of the China business. It is performing very well, and is supported by that strong demand for New Zealand dairy and the team performing really well on the ground."
With these foundations, Fonterra was well placed to continue to grow its Greater China Foodservice, Consumer and Ingredients businesses, Rivers said.
Meanwhile, Rivers was happy to report that Fonterra's Kiwi farmers had been recognised as leaders in animal welfare.
The Business Benchmark on Farm Animal Welfare ranked Fonterra farmers as top global performers when it came to farm animal welfare management, performance and disclosure.
The just released 2020 report showed Fonterra as one of only 12 food producers and manufacturers to be recognised for leadership on farm animal welfare, Rivers said.
"We're also the only New Zealand organisation to be included in the line-up of 150 of the world's largest food companies."
Fonterra was awarded a Tier 2 status, which meant the wellbeing needs of its cows were being met, but that didn't mean the co-op would rest on its laurels, River said.
"Of course we can always do more and our Co-operative Difference programme is going to help with that - for example, one of the pillars of that programme is to have a vet approved Animal Health Plan."
Tier 2 was great recognition for Fonterra's farmers and reinforced the co-op's commitment to ensuring its cows were treated well – a quality that was becoming more popular with customers and consumers, Rivers said.
