CHINA – Global ingredient solutions provider, CP Kelco has announced that it is investing in capacity expansion at its gellan gum production facility in Wulian, China.
The company said the expansion, which is set to begin in July will support its growth in Asia Pacific region.
It involves addition of new production capabilities at the site, creating multiple supply points that meet global demand variability and mitigate potential supply chain risks.
The additional gellan gum production capacity is expected to be available in 2020, ready to serve the Asia Pacific market, where application of gellan gum in dairy and alternative protein beverages, such as drinking yogurts is increasing.
“CP Kelco’s continued investment in expansion of production capacity demonstrates our ongoing commitment to building supply of our high-quality, nature-based ingredients ahead of market demand,” said Didier Viala, President of CP Kelco.
“With the addition of gellan gum production capabilities at our Wulian plant, we will bring supply of this highly functional, innovative product closer to our customers in the Asia-Pacific region.”
Headquartered in Atlanta, Georgia, US, CP Kelco is a leading producer of specialty hydrocolloids with a portfolio comprising of gellan gum, pectin, xanthan gum, CMC/cellulose gum, carrageenan, diutan gum, and microparticulated whey protein concentrate.
Gellan gum is a key ingredient in the company’s portfolio of fermentation-derived products, providing stabilization, suspension and texture in a variety of food, beverage and personal care applications.
The company last year said it is looking to expand pectin production capacity at its Lille Skensved, Denmark facility by about 15% to meet growing global demand.
Last month, CP Kelco expanded its distribution agreement with Azelis to serve the food and beverage industry in the Nordic region.
Starting June 23, Azelis will exclusively distribute CP Kelco products for customers in Denmark, Sweden, Norway, Finland, Iceland, and the Faroe Islands.
This strengthens the existing partnership between the partners in parts of Europe and Asia, involving distribution of pectin, carrageenan, gellan gum and SIMPLESSE® micro-particulated whey protein concentrate.