Natural Colors Will be a Key Element of FMC’s Future Investment Plans

15 May 2014 --- FMC Corporation will be investing further in expanding its natural colors business in order to tap into growth in key segments such as confectionery and soft drinks, the company said. The announcement follows yesterday’s news that the company has opened a natural colors blending facility at its Newark, Delaware manufacturing site.

Marketing communications manager, Lindsay Torriero, told FoodIngredientsFirst: “The North America Natural Color facility underscores our customer centric approach to provide regional on-the-ground capabilities to support customer product development and service. While it’s too soon to talk about specific future plans, natural colors are a key part of our portfolio and a key part of any discussion about potential future investment.”

The Newark operation is expected to help meet growing demand in North America for highly stable, natural colors used in a range of applications from baking to beverages, an estimated $200m market.

“We estimate that the North America natural color market is growing at 10-12% annually, driven by increased consumer awareness of health and wellness and a desire for healthful and nutritious food options,” Torriero explained. “We’re seeing early adoption in the confectionary and soft drink industries in the U.S. as a bleed over effect occurs from the labelling requirements in the EU (‘Southampton Six,’ for instance); however, as consumer awareness of natural colors increases, the interest of adoption has also expanded.

“Consumer petitions have been initiated to drive multinational companies to investigate natural color alternatives to artificial colors in confections, prepared meals and beverages, and major US and Canadian retailers have initiatives to transition their private label products from artificial colors to natural colors,” she said.

The company already has natural colors production sites in Santiago, Chile and Burton, UK, as well as US-based technical expertise in Ewing, New Jersey. The new facility is expected to be completed in December 2014, resulting in a 4,800 sq ft building with new equipment for customized color solutions and additional room for future expansion.

"We are delighted to break ground on this blending facility that will support natural colors growth and better serve existing North American customers with on-the-ground capabilities for customization of colors applications and specialized production," said Bryan Bast, business director for FMC Health and Nutrition.

The addition of the Delaware production site will also enable deeper collaboration with our customers," said Bast. "The very proximity of the operation to our technical expertise at FMC's Ewing, N.J., Global Innovation Center will create new opportunity for partnership as well as efficiencies for our business that will ultimately have impact for our customers."

The FMC location in Delaware is a global leader in the production of cellulosics products for a variety of industries, including pharmaceuticals, nutraceuticals and food.  Global sourcing and manufacturing strategies ensure reliable product availability and superlative batch-to-batch product consistency for customers.

FMC Corporation is a diversified chemical company serving agricultural, industrial, environmental, and consumer markets globally for more than a century with innovative solutions, applications and quality products. In 2013, FMC had annual sales of approximately $3.9 billion.  The company employs approximately 5,600 people throughout the world, and operates its businesses in three segments: FMC Agricultural Solutions, FMC Health and Nutrition, and FMC Minerals.

FMC has expertise in food texture, stability, structure and color. With more than 75 years’ experience in the food industry, it claims to have a deep understanding of the complexity of product formulation.