Kerry bolsters Latin America position with new “world-class” taste facility in Mexico

03 Jun 2021 --- Kerry has opened its “world-class” taste facility in Latin America, which will serve Mexico, Central America, the Caribbean and the Andean region. Located in Irapuato, Mexico, the new facility will significantly increase Kerry’s capacity in the area and further support customers in delivering local and sustainable taste solutions.

This new site expands Kerry’s offerings across several F&B categories, including refreshing and alcoholic beverages, snacks, meat, dairy and bakery. The flavor solutions are based on Kerry Taste platforms, including Taste Sense, Authentic Savoury, Simply Nature and Dairy Taste.

It will also play a key role in enabling Kerry’s ambition to bring sustainable nutrition solutions to more than two billion people by 2030 worldwide.

Speaking to FoodIngredientsFirst, Marcelo Marques, president and CEO of Kerry Latin America, says Mexico is one of the main taste markets in Latin America. “With Brazil, it represents 70 percent of the total volume of the market and has great potential for growth.”

The new site in Mexico will expand Kerry’s beverages, snacks, meat, dairy, and bakery offerings.“The new center expands the offering of our flavor and innovative taste platforms to the region, while strengthening our market position by satisfying the preferences of our local consumers.

This project is part of our strategic plans for taste in the region, which takes a long-term view,” he continues. 

Construction started in 2019 and Kerry has been taking all safety and sanitation measures during this period to secure the health of its people, while delivering the project successfully and safely. “We are proud of the team involved in this important milestone in our history,” adds Marques.

Eye on Latin America 
According to Edson Cortes, taste lead for Kerry Latin America, Mexico boasts 35 percent of the taste market in the Latin America region and presents solid opportunities for growth and innovation. 

“With sustainability at the core of our Taste portfolio, this site will also enable us to deliver tailored solutions for customers in the regions,” he outlines.

This investment positions Kerry as a leader in the flavors market in Latin America as the company seeks to consolidate its position in the market and deliver great taste solutions to its customers.

Beyond the Horizon
Also aligned with the company’s commitments under its Beyond the Horizon strategy, the facility incorporates processes and technologies that will support its environmental goals. 

These capabilities, combined with expertise across sustainable innovation, marketing insights, research, development and applications and sensory science, will enable Kerry to co-create with customers products that will be consumed across the region.

The pandemic effect
COVID-19 has considerably impacted consumer behavior and taste preferences across Latin America, according Marques.

“Companies need to be in a position to understand and respond to these evolving dynamics. This new taste facility allows us to deliver on consumer demands across the region, and we look forward to working with customers to bring innovative taste solutions to satisfy consumer needs and create a world of sustainable nutrition.”

“We understand the importance of the Latin American market and the different taste preferences of consumers. COVID-19 has impacted consumer behaviors and preferences, and despite the challenges we have been facing, the new plant puts us in a stronger position to respond to these new demands,” he explains. 

Consumers seek new experiences The factory is built in a total area of 4,406 m² that allows the plant and its production capacity to be expanded.
While Kerry has seen “significant variability across different markets,” the company has also highlighted sustained strong growth in retail while the foodservice channel is returning to growth.

“Demand for plant-based food and products with functional benefits are on the rise, while consumers are also seeking nostalgic and comforting tastes,” Marques notes. 

However, consumers are also looking for excitement and are drawn towards enticing and visually impactful food and beverages, and are interested in exploring the world through their taste buds, with authentic yet accessible cuisine choices on the rise.

“As a consumer first organization, we are working closely with our customers to co-create products that will make an impact on the marketplace and resonate with consumers, bearing in mind trends that are accelerating at a rapid pace.”

Expanding global reach
Kerry has opened a slew of new facilities in all corners of the globe in recent months. 

In April, the company made its largest-ever Southeast Asian capital investment with the opening of a US$36 million taste facility in Indonesia. The facility is being built from the ground up and set to be operational in late 2022.

Last month, Kerry unveiled a new technology and innovation hub in Australia. The facility will also act as the new headquarters for Kerry in Australia and New Zealand, while its existing facility in Sydney will retain a specialist R&D applications hub.

This February, Kerry acquired Jining Nature Group to expand its authentic savory taste capabilities in China. 

Kerry also recently spotlighted functional and plant-based ingredients in ice cream as top trends amid the pandemic. 

By Elizabeth Green