• Kyodo News

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Kirin Beverage Co. intends to tie up with Glico Dairy Products Co. in the distribution of cold drinks in cartons to boost its sluggish sales in western Japan, company officials said Wednesday.

Under their partnership, the major beverage producer will shift sales of cold drinks from its subsidiary to Glico Dairy Products from February by tapping into the vast sales network of the dairy product unit of Ezaki Glico Co., the officials said.

Kirin Beverage will continue to entrust production of cold drinks to the subsidiary, Koiwai Dairy Products Co.

Glico Dairy Products is focused on the production and sales of milk and juice products, and has a strong presence in supermarkets nationwide.

Among the Kirin Beverage products that Glico Dairy Products will be selling are Gogo no Kocha (Afternoon Tea) and Tropicana cold drinks in cartons, the officials said.

The Kirin Beverage-Glico Dairy Products tieup comes amid intensifying competition in the beverage market and growing moves by companies to merge their operations.

In February, talks between Kirin Beverage’s parent company, Kirin Holdings Co., and Suntory Holdings Ltd. to integrate and become one of the world’s largest food and beverage makers collapsed.

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