Ingredion and Argentina-based confectionery firm Grupo Arcor have agreed to form a new joint venture that will serve customers in Argentina, Chile and Uruguay.
Arcor and Ingredion will hold a 51% and 49% stake – respectively – in the new joint venture, which aims to leverage the two companies’ manufacturing expertise, complementary geographic footprints and commercial capabilities to increase food and beverage ingredient offerings to customers in these markets.
Arcor has agreed to transfer its ingredient operations to the joint venture, which includes one manufacturing facility in Lules, Argentina and two manufacturing facilities in Córdoba, Argentina.
Meanwhile, Ingredion will transfer its Argentina, Chile and Uruguay operations to the joint venture, which includes two manufacturing facilities in the districts of Chacabuco and Baradero in Buenos Aires, Argentina.
According to a release from Ingredion, these manufacturing facilities produce a range of ingredients such as glucose syrups, maltose, fructose, starch and maltodextrins that are essential to the food, beverage and pharmaceutical industries.
The joint venture will reportedly have a combined turnover of more than $300 million, and will be managed by a jointly appointed team of executives.
Jorge Elías, president of Ingredion’s South America region, said: “We are pleased to announce our joint venture with Grupo Arcor, a leader and pioneer in the food industry.
“We share similar values and are passionate about creating a world-class experience and offering ingredient solutions that deliver value for our customers. We look forward to combining Ingredion’s successful go-to-market team with our respective operations to strengthen our future for years to come.”
Modesto Magadan, agribusiness general manager at Arcor, added: “Our alliance with Ingredion is a major step in the process of growing and consolidating the group’s ingredients business.”
© FoodBev Media Ltd 2020
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