New Zealand-based multinational dairy co-operative Fonterra is planning to establish a local office in Delhi, India in 2013, in order to take advantage of growing demand for dairy products in the country.

The office will be headed by Hamish Gowans, who will be appointed as the general manager. Hamish Gowans, who previously headed the Fonterra's ingredient business throughout Asia, will be responsible for strengthening the co-operative's operations in India, as it seeks establish itself.

Fonterra Greater China and India president Kelvin Wickham was quoted by the Business Standard as saying that India produces a sixth of the total world milk production, but most of the production is consumed locally.

While Fonterra has gained a solid knowledge of the dairy environment in the country, dedicated leadership is required to further build up relationships and develop opportunities, Wickham added.

In India, Fonterra will be competing with local players such as Amul and Mother Dairy; private companies such as Britannia, Nestle and Danone; and regional brands.