Fonterra is to start selling its Anmum baby formula brand in New Zealand.
The brand is well established in Asian markets, but Fonterra says it wants to boost earnings with a slice of the local market, which is worth around $75 million a year.
Fonterra Brands NZ managing director Leon Clement said the move was not in response to tough overseas markets, or a need to use up surplus product.
"It's been necessitated by our strategy, which is to add value to our products and to commodity dairy products," he said.
Mr Clement said it was possible Fonterra would look to sell Anmum in Australia, although that was not a priority at the moment.
"It is a trusted brand internationally and we are confident it will become one here too. We want Anmum to be one of the top three brands in the $76.9 million formula market in New Zealand."
"Anmum formulas only use lactose, the sugar naturally present in all milks, in the formulations for this age group. We do not add any sugars to our toddler milk and believe that this is something that is important to parents."