Firmenich’s new Istanbul innovation facility to boost creativity and speed-to-market capabilities

27 Jun 2019 --- Swiss fragrance and flavor house Firmenich has announced the launch of its new and expanded facility in Istanbul, strategically located to serve the Turkish market, as well as Europe and the Middle-East. The facility houses laboratories for enhanced creativity and speed-to-market capacities and was designed according to the WELL Building Standard, a global benchmark for employee wellbeing in the workplace, as noted by the company. 

The move is part of the company’s global expansion efforts, and move follows Firmenich’s recent Asian investment. Earlier this month, the company announced a strategic partnership with ArtSci Biology Technologies, taking an undisclosed minority equity stake in this leading local flavor company in Hangzhou, China. Building on the Group’s distributor agreement with ArtSci, this investment will further expand the Group’s reach across Central and Western China’s middle-market where ArtSci is strongly established.

Firmenich operates an inclusive capitalism business model based on delivering positive value for all its stakeholders, which encompasses the scope of “people, planet and society.” Firmenich is one of only seven companies worldwide, and the first ever in Turkey, to be globally certified as a gender equal employer by EDGE, a standard for workplace equality. 

A key pillar of the Group’s business model is its commitment to environmental preservation, particularly in the traceability, ethics and sustainability of its value chain practices for sourcing natural ingredients. In Turkey, Firmenich is working hand-in-hand with producers in the Isparta region, in mid-Anatolia, to sustainably harvest Turkish roses, known for their beauty and delicacy. 

Innovation around the globe
In recent years, Firmenich has bolstered its growth with the launch of seven new facilities worldwide, from a Global Perfumery Creative Center in Singapore to a Flavors Innovation Hub in California. An estimated CHF 370 million (US$378 million) – 10 percent of annual turnover – is invested in R&D initiatives. The company oversees innovation centers in Shanghai and Geneva, towards advancing its research in botanical extraction, food fermentation and clean food technology processes.

In August 2018, the company inaugurated its Digital Lab – D-Lab – in partnership with the Ecole polytechnique fédérale de Lausanne (EPFL), an institution for science and technology. A key milestone of Firmenich’s digital strategy, D-Lab is dedicated to harnessing Artificial Intelligence (AI), to augment the Group’s innovation across fragrance and taste creation. 

Strategic market expansion
Last May, Firmenich acquired a majority stake in VKL Seasoning Pvt. Ltd, an India-based specialist in seasonings and flavors, from True North, an Indian private equity company. With this venture, the flavor house is hoping to broaden its capabilities and customer reach in the subcontinent, a noted growth market for the group, while expanding its raw material palette for clean label ingredients. Founded in Kerala, India, the “spice capital of the world”, in 1996, VKL Seasoning is a prominent brand among Indian consumers. 

In March, Firmenich opened its largest flavor manufacturing plant in the Zhangjiagang Free Trade Zone in China. “This digitally-advanced and highly sustainable plant marks a critical milestone on our journey to shaping the factory of the future,” says Boet Brinkgreve, Chief Supply Chain Officer, Firmenich. “With a 70 percent automation rate, this new plant will boost our customer service, without any compromise on quality, safety and environmental performance, which is non-negotiable for us.”

By Benjamin Ferrer

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