ADM and Wilmar Establish Joint Venture for Refined Vegetable Oils and Fats
Headquartered in Rolle, Switzerland, Olenex will offer an extensive range of high-quality products, including standard refined oils as well as frying oils, margarines, non-dairy fats, confectionary fats, fats for ice-cream, sauces and dressings, and oils and fats for feed and technical applications.
19 Oct 2012 --- Archer Daniels Midland Company (ADM) and Wilmar International Limited have officially launched Olenex C.V., a joint venture for the sale and marketing of refined vegetable oils and fats to the European Economic Area (EEA) and Switzerland, in mid-November 2012.
Headquartered in Rolle, Switzerland, Olenex will offer an extensive range of high-quality products, including standard refined oils as well as frying oils, margarines, non-dairy fats, confectionary fats, fats for ice-cream, sauces and dressings, and oils and fats for feed and technical applications.
To help customers optimize their supply chain and better meet the needs of their consumers, Olenex will also offer enhanced technical support, improved logistical capabilities, and in-depth market intelligence.
“This joint venture allows us to leverage the sales and marketing expertise and the existing production facilities of both ADM and Wilmar to provide exceptional products and services to our customers in EEA and Switzerland,” said Martin Kropp, managing director of oils and fats, Europe, for ADM and a member of the Olenex board of directors. “Olenex customers will benefit from a world-class oil business marketed by a single, expert team, and we are proud to establish this joint venture with ADM,” said Napoleon Pefianco, managing director, Europe, for Wilmar and a member of the Olenex board of directors.
The news came after ADM and Wilmar completed regulatory approvals for their partnerships in global fertilizer and European vegetable oil. The two companies have also launched their partnership in global ocean freight.
Through the three partnerships, which will be based in Rolle, Switzerland, ADM and Wilmar will:
- collaborate on purchasing and distribution in the global fertilizer business;
- partner in the sale and marketing of vegetable oils and fats in Europe; and
- work together to improve the utilization and management of their oceangoing fleets, with each company initially contributing two ships to the effort.
“Given our long association with ADM in Asia, we are confident of the efficiencies that these new global partnerships will bring to our businesses,” said Kuok Khoon Hong, Wilmar’s Chairman and CEO.
“These new partnerships will help strengthen our global marketing reach, while delivering a best-in-class service to our customers,” said ADM Chairman and CEO Patricia Woertz. “We are confident that synergies with Wilmar will create a distinctive value.”
Collaborations between ADM and Wilmar began in the mid-1990s, when they jointly built a network of soybean processing operations in China. Today, ADM owns a 16 percent equity stake in Wilmar. The companies have significant supplier relationships with each other.
