Givaudan invests US$30m in Chinese facility to double flavour production capacity

CHINA – Swiss flavour and fragrances company, Givaudan has opened a new extension to its Nantong, China manufacturing facility to increase the production capacity of liquid flavour production for beverages, dairy and sweet goods.

Givaudan has invested US$30 million in the expansion, in a move that will double the company’s flavour production capacity in China. This brings the company’s total investment on the Nantong facility to US$80 million.

The new 16,000 square metre addition to the original site will enable Givaudan to meet the growing demand from customers in the food and beverage segments in China.

The Nantong manufacturing facility will strengthen the company’s existing capabilities in savoury and culinary flavour blends, snack seasonings, spray dries and liquid flavours.

Givaudan’s Chief Executive Officer, Gilles Andrier said: “We are delighted to open the new extended space at our Nantong facility.

“The total investment we have made on the Nantong site supports our strategic goal of increasing Givaudan’s footprint in high growth markets and capturing growth opportunities.

“More importantly, the larger Nantong site will now enable Givaudan to collaborate even more closely with our customers to deliver innovative and creative taste solutions to the ever evolving Chinese market.”

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Givaudan’s APAC Commercial Head, Flavours, Monila Kothari, underlined the growing importance of the Chinese market to Givaudan: “China’s economy has blossomed quickly over the years and is now the world’s second biggest economy.

“As a result, we have seen a tremendous growth in the food and beverage industry coming from local players. Given this rapid transformation, we now have a manufacturing facility that can support our business development strategy in China.

“This expansion will enable us to be agile as we address the needs of our customers in China.”

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According to the company, about 95% of the total production capacity will support customers in China. About 150 people are currently employed on site of which a large majority have been recruited locally.

The manufacturing facility is also certified as “Environment-friendly Green Enterprise” by the Environment Protection Bureau of Nantong Economic & Technological Development Area (NETDA), making important contributions to Givaudan’s Climate Action Agenda.

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