Deeply wealthy investors in companies from EAC nations like Tanzania, Uganda, Rwanda, and Somalia have been extending their reach into the nation, endangering the long-standing dominance that has been almost entirely enjoyed by residents and companies from outside the region.

Regional companies are becoming more interested in the Kenyan market. This is in response to years of expansion into the EAC market by numerous Kenyan companies, including banks, insurers, manufacturers, Taifa Gas, Maziwa, Premier Bank, Yego Global, Liptons Teas, and Infusions Rwanda.

According to data from the trade bloc, the EAC region had a population of 300.4 million and an economy valued at USD 312.9 billion at the end of 2021.

The Tanzanian company has promised to upend National Cement Company, Mombasa Cement, and East Africa Portland Cement Company to solidify Bamburi’s position as a “leading” cement player in the East African cement market.

The announcement of Amsons’ planned entry into the market comes just three months after Pearl Dairy Farms, the well-known milk processing company in Uganda and owner of the Lato brand, was permitted to purchase a dairy company in Kenya, allowing it to get past obstacles that had been preventing it from selling and supplying its goods in Kenya.

The Comesa Competition Commission approved Maziwa, the non-operating holding company incorporated in Mauritius, to purchase a 100% interest in Highland Creamers and Food Limited, a Kisii-based company that began operations in 2015 and is the company behind the Family Milk brand, in a notice dated March 11.

“The access to the two separate milk pools in Kenya and Uganda, will also allow for growth in the local Kenyan market without dependency on imports from other nations,” Pearl Dairy said on getting the approval.

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With production facilities and distribution networks spanning continents, Lactalis is active in more than 100 countries. A vast range of dairy products, including milk, cheese, butter, yoghurt, and other dairy-based drinks and desserts, are offered by the company.

Lactalis has grown significantly by making both calculated acquisitions and organic growth. The company has solidified its position in several international markets by acquiring well-known dairy brands over the years.

Among its noteworthy acquisitions are the 2011 purchase of the massive Italian dairy company Parmalat, which helped it establish a stronger presence in Europe, and the 2017 acquisition of the American cheese manufacturer Stonyfield Farm, which helped it expand its reach in the US market.

Lactalis has occasionally been the subject of criticism despite its widespread distribution and wide range of products. The business was involved in a significant scandal involving tainted baby formula in 2017, which resulted in recalls and harmed the business’s reputation. But Lactalis moved quickly to resolve the problem, investing in product safety and enforcing stronger quality control procedures to win back customer confidence.

Lactalis is dedicated to sustainability and environmental stewardship in addition to its commercial endeavours. To lessen its influence on the environment, the company has taken steps to optimise the use of energy and water in its production processes and to encourage ethical sourcing across its supply chain. Overall, Lactalis continues to be a major player in the global dairy market, with a constant focus on innovation, growth, and sustainability along with a dedication to providing consumers all over the world with high-quality dairy products.

The brain behind this successful venture is 53-year-old Emmanuel Besnier, a French heir and businessman, and is the chief executive officer (CEO), who has taken this company to such a great milestone.

Who is Emmanuel Besnier?
• Emmanuel Besnier was born on 18 September 1970 in Laval, Mayenne, France
• He pursued his studies in a private school of Laval, the Roman Catholic Immaculate Conception, and then moved to Paris for higher studies at the Higher Institute of Management
• After completing his graduation, Emmanuel Besnier turned towards his family business and started working in Madrid
• He took over the company and became the CEO after his father died in 2000, and turned it into an amalgamation
• In the year 2006, Emmanuel Besnier received the “Mayennais of the Year” award from the local Rotary Club
• Every year his company donates around $230000 to the Laval Stadium through Groupe Lactalis
• Emmanuel Besnier is a passionate football lover and donates EURO 200000 every year to the Francis Le Basser Football Stadium, Laval
  He’s been nicknamed ‘The Invisible Billionaire’
• According to Forbes, as of 2024, Emmanuel Besnier’s net worth is around 2,500 crores USD

Despite Business Success, Lactalis Faces Hard Time

In March 2024, DKSH signed an exclusive distribution agreement with Lactalis. Under the pact, DKSH’s Business Unit Performance Materials will provide business development, marketing, sales, logistics, and distribution services for Lactalis’ pharma grade lactose for customers producing Finished Dosage Forms (FDFs), including tablets, pills, capsules, liquid solutions, among others in key markets like Bangladesh, India, Indonesia, Thailand, Portugal, and Spain.

The development gives some respite to the dairy giant, who, recently, has been reportedly fined for engaging in “unfair” trading behaviour, after Coldiretti, the primary farmers’ organisation in Italy, filed a complaint against the venture.

Part of Italy’s Ministry of Agriculture, the Central Inspectorate of Quality Protection and Fraud Repression (ICQRF) has fined the dairy group 74,145 euros (USD 80,446). After ICQRF issued a summons, it was placed on the local Lactalis subsidiary company Italatte. Regarding the price paid to farmers for their milk supply, Coldiretti had claimed that the company was involved in “unfair practices.”

Lactalis announced that it “will appeal any sanctions that will be imposed.”

“The proposed contractual changes have allowed farmers to earn €40m, more than 10% than what initially stipulated with a price in line with the market,” the dairy company said, as reported by the JustFood website.

However, ICQRF said in its statement, “The Lactalis company had been accused of having unilaterally modified the contract with the farmers supplying milk, decreasing the recognised prices. It was also accused of having introduced a new index linked to the prices of European milk, which was not agreed upon and penalised Italian producers.”

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