Dairy led the headlines in our sector this week. Danone is to sue Fonterra over last year’s botulism contamination saga, French dairy giant Lactalis has entered India with the acquisition of local firm Tirumala Milk Products and Saputo has told Warrnambool Cheese and Butter Factory’s investors its offer for the Australian dairy processor is final.

FRANCE/NZ: Danone to sue Fonterra over botulism recall
Danone has said that it will start legal proceedings against Fonterra in an attempt to recoup losses stemming from the New Zealand dairy giant’s botched botulism recall last year.

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FRANCE/INDIA: Lactalis buys dairy firm Tirumala
French dairy giant Lactalis has entered India with the acquisition of local processor Tirumala Milk Products.

AUS: Our offer is final, Saputo tells WCB investors
Saputo has said its current bid for Australian dairy processor Warrnambool Cheese and Butter Factory is its “last and final offer”.

UK: Morrisons sees sales tumble over Christmas
Morrisons today (9 January) reported a near-6% drop in like-for-like sales over Christmas, sending shares in the UK’s fourth-largest grocer sliding.

UK: Tesco shares slide after latest sales declines
Tesco has again reported declines in sales at home and abroad as it outlined how it traded during Christmas and New Year.

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BRICs and beyond: WhiteWave, Mengniu JV poised for growth
WhiteWave Foods and Mengniu Dairy are eyeing growth in the Chinese nutrition sector through a tie-up announced earlier this week. The deal will enable WhiteWave to rapidly build scale in the Chinese market while Mengniu will benefit from a wider product offering. Katy Askew takes a look at the agreement.

US: Family Dollar warns on profits, COO to exit
US discount retailer Family Dollar Stores announced a management shake-up yesterday (9 January) after it unveiled a drop in first-quarter earnings and lowered its guidance for the year.

DENMARK: Maersk to cede control of Dansk Supermarked
Shipping-to-oil group A.P. Møller-Maersk is to sell most of its shares in Dansk Supermarked, the retailer with over 1,300 stores in Denmark, Germany, Poland and Sweden.

UK: Health campaigners set sights on sugar
Health campaigners have formed a group to try to reduce the amount of sugar in food.

IRELAND: Irish food, drink exports set to hit record EUR10bn
Irish food and drink exports are set to hit a record EUR10bn (US$13bn), according to new figures released by Bord Bia.