Beneo invests US$56m in 50% capacity expansion at Belgian rice starch plant

10 Jul 2020 --- Functional ingredients producer Beneo, has announced a 50 percent production capacity increase at its facility in Wijgmaal, Belgium, to cater for rising customer demand for rice starches. A two-stage expansion process, valued at €50 million (US$56.4 million), will lead to increased capacity by March 2022. The supplier leverages the color-preserving functionalities of rice starch, which translate into improved coatings performance for confectionery manufacturers switching out titanium dioxide for a cleaner label ingredient.

Roland Vanhoegaerden, Operations Managing Director Speciality Rice Ingredients at Beneo, notes that the nature of the ingredients business is one of long-term thinking and economic resilience. “We fundamentally believe in the value of this investment, with demand for rice starch coming from both natural and organic growth, as well as from new projects and applications. One of the key reasons for our confidence is the clean label trend, where food manufacturers are moving away from artificial additives and replacing them with natural alternatives, such as rice starch.”

Beneo forecasts that the growing demand for natural and clean label products, in applications such as coated confectionery, will intensify in major existing markets, including Europe and the Americas. The supplier highlights that rice is widely considered a familiar and recognizable product, with 61 percent of consumers worldwide regarding rice starch as natural, making it the “ideal ingredient for the development of products that respond to the increasing trend for clean and clearer labels.”

Rice starch production consists of several phases: rice cleaning, soaking, milling, sieving, separation, dewatering and drying. Beneo’s investment at the Wijgmaal facilities will increase the number of production lines from two to three. The first phase of the Beneo investment will take place at the tail-end of the production process for existing lines.

The installation of a third drier and dewatering line further enables the company to reduce bottlenecks and raise efficiency. The second expansion phase will involve the front-end of the production process, starting from soaking through to the separation of the starch from the proteins in the valorization step, it highlights.

The “smoothing effect” is of rice starch beneficial for confectionery applications as it ensures a stable result where coating edges do not crack or splinter. Additionally, rice starch allows for the preservation of a brilliant white color for months.Functionalities of rice starch in confectionery
Rice starch is capable of filling up all of the micropores on the surface of coatings due to its very fine particle size. This so-called “smoothing effect” is especially beneficial for confectionery manufacturers during the production process, since it ensures a stable result where edges do not crack or splinter. Additionally, rice starch allows for the preservation of a brilliant white color for months.

Since January 1, titanium dioxide, which is used to fill microscopic irregularities in coatings, is no longer permitted for use in food products in France. There are expectations that other EU markets may follow the country in banning the additive. “We are already seeing some major companies looking at rice starch and we will soon have a much larger capacity in place to address this rising demand,” Vanhoegaerden explains.

Technical trials by Beneo’s Technology Center have shown that clean label rice starch can also play an important role in a variety of other applications including baked goods and products that need to undergo severe processing conditions, such as sauces and dressings, as well as pet food.

The focus on healthier and cleaner labels remains steadfast throughout the coronavirus pandemic. Last month, FoodIngredientsFirst caught up with Andreas Herber, Executive Board Member at Beneo, on the company’s efforts during this challenging period. The executive highlighted that almost three-quarters of consumers worldwide plan to eat and drink healthier as a result of the COVID-19 outbreak.

Beneo’s expansion ambitions
In recent years, Beneo has been investing in streamlining the variables of environmental stability at its Wijgmaal facility. A recent investment into its docking station means that the company can now accept two barges at its plant, rather than one. As a result, two-thirds of rice raw material is now received by barge and just one-third by truck. 

Vanhoegaerden concludes: “The impact is on cost saving, but also on the environment, due to lower carbon emissions and a reduction in traffic. Our factory is in the middle of an urban area and by increasing barge use, we can reduce congestion and noise levels in the neighborhood.”

Among other recent business developments, Beneo has also expanded its chicory root fiber and rice starch ingredient portfolio with two organic solutions. The latest additions, an organic waxy rice starch, Remyline O AX DR, and organic chicory root fiber, Orafti Organic, strengthen the company’s position in the naturality space as consumers increasingly look for organic ingredients.

In March, the supplier revealed it was making a significant expansion in its chicory root fiber production facility in Chile by 2022, funded by an investment of more than €50 million (US$56 million). The news came following the rising demand for chicory root fibers, inulin and oligofructose, as consumer interest in digestive health continues to grow.

Edited by Benjamin Ferrer