Dairy products manufacturer Halo Food has received its second private label tender with Coles, the company’s second contract with the supermarket giant in under 12 months.
With the first contract still ongoing, Halo CEO Danny Rotman said the latest deal proves the company’s strategic relationship with Coles is growing and is a testament to its large manufacturing capacity.
The contract forecasts annual sales of $3.3 million, with production expected to start during Q1 FY22 at Halo’s Australian facilities and products to arrive on shelves during Q2.
Rotman said this is a significant achievement for the company.
“We are delighted to continue to partner with Coles on a growing number of products in their private label range building further on our track record of delivery from the initial and concurrent contract.
“Halo will continue to work on further new product development and increase the value and scope the company offers to Coles and all clients,” said Rotman.
Under the private label tender the company will deliver multiple SKUs with different pack formats, flavours, and sizes.
With the term of the label unknown, Halo said it expects the duration to be longer than an initial 12-month period which will lead to gross sales valuing significantly more than the annual value.
The company recently rebranded from Keytone Dairy and signed a $54.3 million deal with Chinese brand distributor Theland New Cloud Digimart to develop and manufacture its powdered dairy products in China. Rotman said the deal with Coles closes off a big week for the company.
