Agrana Fruit to strengthen Chinese presence with second plant

26 Jul 2017 --- Agrana Fruit, part of the Agrana Group, has signed an investment contract for the construction of a new fruit processing plant in China. Agrana Fruit, which has already been operating one factory in Dachang, is now expanding its business activities in the region, by building a second plant in South Eastern China, around 180 km away from Shanghai. 

“In China, we are seeing specific demand from fruit within non-traditional dairy applications such as drinking yogurts and drinking dairy desserts. Convenience and on-the-go consumption for fruit-based dairy products are playing a significant part in the product development and innovation platforms,” Johannes Kleppers, CEO of Agrana Fruit tells FoodIngredientsFirst. 

“These trends are driven by the needs of the market, which consist of health, convenience, fun and enjoyment,” says Kleppers.

“We see the dairy industry as the main category which boasts the most potential. However, we also target to support the food service, beverage and bakery industries,” he adds. 

According to Kleppers, 100 job positions will be created in the short to medium term.

The new production site will be located in the Life and Health industrial park in the Changzhou National High-Tech District and focus on the production of fruit and savory preparations for the dairy, ice cream, bakery and foodservice industry. 

The building of the plant is estimated to be finished by the end of 2018 and the start of production is still expected to be in the same year. 

“Through this new plant, Agrana Fruit will be able to pursue its growth path in China by increasing capacities, as well as extending its product offering. We experience a strong potential for the further development in our nutrition segment for dairies, bakeries, ice cream manufacturers and the foodservice players. Thanks to Agrana Fruit’s experience of many years in this country, we can capitalize on our local knowledge, brand identity, market intelligence and customer relationships to grow and develop our presence hand in hand with the needs of the consumer,” concludes Kleppers.

Agrana Fruit offers a variety of fruit, brown flavor, savory and specialty solutions for the food and beverage industry. Every year, a global network of R&D experts develops around 850 new and innovative products in close collaborations with customers. The solutions contain top quality ingredients, which are prepared to be used in dairy products but also in the ice cream, bakery, foodservice and fast-food industries. Agrana Fruit’s product development work also reflects global nutritional and health trends in the area of organic and natural products, health and well-being, indulgent and premium products, target groups and convenience.

Agrana Fruit is part of the Agrana Group, an Austrian Stock Company. It is the world market leader for fruit preparation for the dairy industry. Agrana Fruit’s preparations are in every 3rd yogurt cup worldwide. During the business year 2016/17, Agrana’s fruit segment (Fruit and Juice), generated a turnover of €1.15 billion. With its 26 processing plants and more than 5.000 employees, Agrana Fruit has sales activities in over 80 countries.

By Elizabeth Green