Fonterra and Nestle have opened a new joint dairy distribution centre in Brazil in a move that they say will shave running costs and energy use.
Fonterra and Nestle have a joint venture called Dairy Partners Americas which operates in Brazil.
They've built the new $45 million distribution centre in Araras, where they also run a factory which makes chilled dairy products such as yoghurts, desserts and cream cheese.
The centre will distribute more than 200,000 tonnes of dairy products a year.
Fonterra says combining the production and cooling site with the distribution centre will save a lot of energy, reducing the amount of diesel needed for transport by about 150,000 litres and saving 400 tonnes of carbon dioxide a year.