Cost cuts, rising baby food sales in Asia, and an improvement at its dairy business in Europe will all help Danone deliver higher sales and profits this year despite volatile emerging markets, the French food group said yesterday.

Danone, the world’s biggest yoghurt maker, gave a higher sales goal for the first time in four years yesterday as it pledged to boost profitability at its fresh-dairy business, which represents more than half of the French company’s revenue.