BASF enters natural flavours and fragrances market with acquisition of Isobionics

GERMANY – BASF has acquired Isobionics, an innovation leader in biotechnology serving the global natural flavors and fragrances market, marking chemical company’s entry into the flavor and fragrance market.

Isobionics, a Netherlands based company develops and produces a wide range of natural ingredients for the F&F market with a focus on citrus oil components such as nootkatone and valencene.

Following the acquisition, Isobionics and all its employees will become part of BASF’s Aroma Ingredients business.

To further strengthen its footprint in the sector, BASF has also entered into a cooperation agreement with Conagen, a leader in biotechnology research, a move that will help BASF to broaden its portfolio with natural ingredients such as vanillin, nootkatone and valencene.

BASF now intends to advance the technology for biotech-based aroma ingredients by combining its own research and development excellence and broad market access with the know-how and expertise of Isobionics and Conagen.

 “The Flavor & Fragrance industry is experiencing an increasing need for natural ingredients,” says Julia Raquet, who heads BASF’s Aroma Ingredients business.

“But fluctuating product quality, availability and sustainability are constant challenges for our customers. By entering the market with biotechnology-based aroma ingredients, we intend to provide our customers with high-quality products to respond to the current market challenges.”

Toine Janssen, founder of Isobionics said, “BASF is known for its high-quality standards, traceability and excellent regulatory know-how.

“By combining our biotech-based product portfolio and strong development pipeline with BASF’s expertise and its global market reach, we can provide the natural aroma ingredients market with even more innovations – and boost our growth.”.

BASF added that the partnership with Conagen will be enable the company to serve the market with natural vanillin, one of the aroma ingredients with the highest market demand. Conagen has strong R&D and commercialization capabilities for fermented ingredients.

BASF’s Nutrition & Health division recently established a global business unit dedicated to the research and production of enzymes, which can be used as natural processing aids or ingredients for a large variety of applications in food, feed and technical industries.

“Reflecting the potential of changing consumer habits and the scarcity of natural ingredients, the strengthening of our biotechnology footprint is at the heart of BASF’s strategy,” says Melanie Maas-Brunner, who leads BASF’s Nutrition & Health division.

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