Symrise eyes growth in West African market through Nigeria R&D expansion

06 Sep 2019 --- German global flavor house Symrise has unveiled its new application labs in Nigeria, as part of a growth strategy to strengthen its presence in the growing West African market. The new facilities are based in Lagos, the largest city in Nigeria. In the labs, local Symrise experts will work on flavors for various application areas, in particular for beverages, sweet applications and savory foods. The company is seeking to meet the local preferences of regional customers as closely as possible with this local expansion.

“With more than 190 million inhabitants, Nigeria is by far the most populous African nation and a key regional economy. With this new investment, we are enhancing our local footprint and intensifying our long-term commitment to Nigeria and the region,” a Symrise spokesperson tells FoodIngredientsFirst.

Symrise inaugurates its new facilities in Lagos, Nigeria.“We are running similar application labs in many of our global locations. This enables us to cater to regional needs and to develop spot-on products for the market. This way we can deliver customized solutions to our customers faster and in direct contact with them. We are present with around 10 locations in 40 countries,” adds the spokesperson.

The history of Symrise is closely connected with Nigeria. With its Scent & Care and Flavor & Nutrition segments, the company has been active in the African country for more than 30 years. The goal of the new application labs is to incorporate customer preferences and market requirements in product development locally and with speed. To achieve this, Symrise is employing three new lab specialists in Nigeria.

“With these application labs, we can create products in the market for the market,” says Rudy McLean, Managing Director at Symrise South Africa. “We can deepen our understanding of the preferences and needs of local people and – where possible – use local raw materials.”

In August, Symrise reported “dynamic business development” for the first half of the year. Net income for the H1 was €11 million (US$12 million) higher compared to 2018, and the company noted that it continues to expect a sales growth of 5-7 percent for the current fiscal year. The target is to significantly exceed the growth of the relevant market in 2019, which is estimated to grow by 3-4 percent worldwide.

Symrise inaugurates a new production line for liquid flavorings in Russia.Expansion of global R&D activities
Symrise’s global expansion comprises the setup of application laboratories in key growth markets, including the July launch of a production line for liquid flavorings in Rogovo, Russia, where the company began producing its own dry taste solutions a few years ago. The plant will produce around 1,800 tons of flavorings per year, in containers ranging from 100 kilograms to 4,000 kilograms.

Symrise is currently invested in research on the best cultivation conditions for vanilla in specifically designed fields in northern Madagascar, as announced in August. The company is sharing the expertise gained from the tests with local partner farmers, in a bid to help increase yields and ensure consistent premium quality of vanilla. The project currently works with around 7,000 smallholder farmers in 90 villages.

In May, Symrise announced the company’s investment in and the creation of a strategic partnership with Califormulations, a unique platform designed to deliver end-to-end beverage innovation to consumer packaged goods (CPG) companies and their brands. Califormulations combines the expertise of Symrise, including its Beverage Innovation Centers in Laguna Beach and Teterboro, with the offering of cannabis company The Green Organic Dutchman Holdings (TGOD).

By Benjamin Ferrer