Dairy company Frischli is teaming up with fellow German food business Brüggen to establish a new oat beverage specialist business.

The two family-owned companies registered the formation of a joint venture with the Cartel Office on 3 July 2024. The new business will develop and produce oat beverages, oat beverage concentrates and functional oat products, marketed specifically in the food retail sector.

Brüggen and Frischli aim to combine their expertise in the areas of milk and oat processing to produce innovative, high-quality oat beverages that meet the demand for plant-based milk alternatives in Germany.

Frischli processes around two million kilograms of milk daily, supplied by over 750 milk producers. In 2021, the company added a modern plant-based range to its portfolio including a variety of desserts and oat-based milk alternatives. Meanwhile, Brüggen operates the largest oat mill in Germany and supplies oat flakes, and other hulled cereal products, from its production headquarters in Lübeck. The company has further facilities in Poland, France and Chile.

The joint venture will rely on advanced milling technology, process technology for oat liquefaction and filling technology.

Johannes Brüggen, personally liable partner at Brüggen, said: “The establishment of this joint venture marks a significant step in our corporate strategy, which focuses on sustainable growth and innovation. By combining our respective strengths and experience, we are ideally positioned to set new standards in the oat drink sector.”

The company is expected to commence operations at the beginning of 2025, subject to authorisation by the relevant authorities. Both Brüggen and Frischli have worked with well-known retail partners for years and will continue to operate independently in their respective fields.

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