Cargill Joins the Compound and Industrial Chocolate Market 

21/11/07 Cargill, Latin America’s largest cocoa processor, has advanced further in the supply chain and started producing compound and other types of chocolate for the food industry. The company’s Porto Ferreira plant, in the state of São Paulo, started production in November to supply the domestic market. Cargill has ample cocoa expertise because it has been active in this industry in Europe and the United States for more than 100 years. According to Saskia Korink, who heads the Cocoa and Chocolate Business Unit, “this lets the company provide high-quality, valued-added products in Brazil.” In addition, “Cargill is synonymous with quality and commitment; based on this investment the company will expand the possibilities of offering innovative solutions to its customers,” adds she.

The new plant represents an investment of US$5 million and its installed capacity totals 10,000 metric tons/year. It is also ready for future upgrades and expansions. From approval to conclusion of the works for startup, the facilities demanded 11 months of work and 50,000 accident-free man-hours.

In Brazil, Cargill has been active in the cocoa industry for 25 years, supplying its customers with cocoa products such as liquor, powder, and butter. Now the company will use all these to produce compounds and industrial chocolates. This production will also use raw materials from other areas of the company: Vegetable fats from the Cargill Foods Business Units, flavorings from Flavor Systems, and sugar – in addition to the industrial facilities – from the Starches and Sweeteners Business Unit.

Cargill will supply its industrial customers with bulk and compound chocolate in buckets, kibbles, 25-kg bags, 2-kg bars, and, in a nearby future, drops. According to the Brazilian Association of Chocolate, Cocoa, Peanut, Candies, and Related Products Manufacturers (Abicab), in 2006 the Brazilian chocolate market increased 12 percent. According to Gerson Crisci, Cargill’s chocolate and compound manager, “forecasts point to considerable growth in compound chocolate sales because of rising purchasing power of lower-income Brazilians.”

Cargill’s compound and chocolate manufacturing plant in Porto Ferreira is part of the company’s Starches and Sweeteners Business Unit’s facilities. This location was of strategic importance because it is close to major customers and in sugar-producing region. In addition to the Porto Ferreira’s plant quality control laboratory, customers also count on Cargill’s Integrated Application Center in Mairinque, also in the state of São Paulo. This technology center designs distinct solutions for the company’s customers using ingredients produced by the several Business Units comprising the Food Ingredients and Systems platform.

Currently Cargill is Latin America’s largest cocoa processor. The company’s high-quality products not only lead domestic sales but are also exported to the world’s most demanding markets, such as Europe, Japan, and the United States. The product portfolio includes a special line of cocoa powders (Spetrum Line), different types of liquor, and cocoa butter. The company runs a state-of-the-art cocoa processing plant in the city of Ilhéus, state of Bahia, and four originating offices located close to cocoa producers. Cargill has been in Bahia for 25 years and today it is acknowledged as an innovative and committed company always working in partnership with farmers.