The Chinese experience of Bellamy's and A2Milk, including occasional rough patches around market access and success in speciality products, has provided a growth blueprint for Bubs. Mrs Carr said Bubs admired their achievements but had its own vision for the brand in China. The $80 million aquisition of NuLac Foods late last year gave Bubs a 49.9 per cent interest in processing facilities as well as exclusive rights to supply from Australia's biggest milking goat herd and New Zealand operations. Mrs Carr said Bubs has been looking at ways to boost milk supply since the aquisition. One strategy has been to maximise reproduction within the existing herd with about 400 kids born last week. "We are also purchasing additional milking goats to max out the current infrastructure and then will put in new infrastructure to grows the herd," she said. "On top of that, we are putting in place partnerships with surrounding farmers as well."
Infant formula firm Bubs Australia plans a five-fold increase in its milking goat herd to meet demand from the Chinese market for speciality and premium infant products. The company expects sales revenue to double 2019-2020 after signing a long-term supply deal with Chinese e-commerce provider, New Times Asia, with sales commitments of $17m 2019-2020, $24m in next year and $37m in 2020-21. Bubs has also penned a distribution deal with the country’s biggest distributor of infant nutrition products, QianJiaWanPu.