Wilmar Inks JV with Brazil’s Raizen to Export Millions of Tons of Sugar
05 Oct 2016 --- Asian agribusiness giant Wilmar International has signed a joint venture with Brazilian sugar maker Raizen to export millions of tons of sugar across the world. The 50-50 joint venture is called Raizen and Wilmar (RAW) and involves Wilmar Sugar, a subsidiary of Wilmar International, and Raizen, Brazil's largest producer of very high polarization (VHP) sugar.
The deal will see RAW export Raizen's three million metric tons of VHP sugar to countries around the world.
In total, it will make RAW one of largest exporters of Brazilian sugar to the world with a total volume of approximately 4.5 million metric tons annually.
“Our main incentive is the potential to further improve the return to our production assets by strengthening our presence in the international market, “said Leonardo Gadotti, Chairman of the board of directors of RAW and Executive Vice President of Logistics, Distribution & Trading of Raízen.
“This will be achieved through a strategic partnership in the trading segment with our partner Wilmar, a company with considerable expertise in the sector.”
Jean-Luc Bohbot, Group Head of Sugar at Wilmar International, and CEO of the Joint Venture said, “RAW will offer a very high level of service and information to our clients at origin in Brazil, as well as in destination markets worldwide.”
“Our project is a new step towards improving client service in the global sugar market, based on the complementary strengths of Raízen and Wilmar and their consolidated leadership position in the respective market segments in which each of the companies operate.”
RAW will be headquartered in Singapore and will conduct its sugar origination in Brazil through a wholly-owned subsidiary headquartered in São Paulo, Brazil.
