EU Gives Cargill & ADM More Time to Support Investigation

30 Mar 2015 --- The EU has announced that the deadline for the in-depth investigation into the €440m merger of Cargill and ADM Cocoa has been extended by 10 working days to 23rd July 2015.

The Commission announced in January that it is to investigate the merger, which it is worried may lead to a concentration of industrial chocolate in the EU region.

It opened its in-depth investigation to assess whether the proposed acquisition is in line with the EU Merger Regulation. Both US-based companies supply industrial chocolate as well as fat-based coatings and fillings.

Industrial chocolate, which is sold in liquid or solid form, is used by customers in the food processing industry to produce end-consumer products.

The Commission’s preliminary investigation showed potential competition concerns in the supply of industrial chocolate to customers in Germany and the UK. The Commission found that Cargill, ADM and Barry Callebaut are the main suppliers of industrial chocolate to customers in these markets.