The Middle East is proving to be a lucrative market for Australian dairy companies, according to the country's state minister for innovation, services and small business. Louise Asher said Australian firms making milk, cheese and butter were at the helm of the country's trade push into the Arab world, after several major dairy companies announced regional expansion plans. According to media reports, Australia's largest producer of milk Murray Goulburn recently opened a business unit in Dubai, to distribute Devondale milk, butter and cheese across MENA. Also this year, Victoria based Tatura Milk Industries said it would plough US$7.8m into upgrading its facilities amid rising demand for its Bega cheese from the Middle East. The project will involve increasing Tatura's production capacity of cream cheese from 15,000 tonnes to 22,000 tonnes per year. Warrnambool Cheese and Butter (WCB), another Victoria firm, also announced plans to distribute products to Middle Eastern markets at this year's Gulfood conference. Local Australian media say the Middle East is now Victoria's largest market for food and beverage, with Victorian exports to the region growing by 18 per cent last year, to a total of US$272m in 2010 to 2011.
