BioGaia extends licensing agreement with Kraft

The Swedish probiotics supplier BioGaia said yesterday it has extended its licensing agreement with Kraft Foods Spain division, which uses the Reuteri in its Mama Louise soft cheese brand.

Swedish firm BioGaia said yesterday it has extended its licensing agreement with Kraft Foods Spain division by another three years. The agreement gives Kraft the right to use BioGaia's probiotic bacterium Reuteri in soft cheese sold in Spain and Portugal.

Kraft Foods Espana has been using the BioGaia product in its Mama Louise brand soft cheese since 2000.

"It is highly gratifying that the licensees are satisfied with our products and want to extend the agreement," said Peter Rothschild, managing director of BioGaia. "The market for health-enhancing foods is expanding rapidly and the major food product manufacturers are becoming increasingly active in this market," he added.

The probiotics company recently announced it was stepping up distribution in the US, following a new contract with a distribution partner there.