American global food processing company, Archer Daniels Midland (ADM), and Brazilian food processing company Marfrig have announced that they are creating a joint venture called PlantPlus Foods to create plan-based foods for American markets.
Based in Chicago, Archer Daniels Midland’s focus is on oilseeds processing, corn processing and agricultural services, with their products being used for human and animal consumption. While Marfrig is based in São Paulo and is the second largest Brazilian food processing company (after JBS) and their focus is on the animal industry, making them the second largest beef producer in the world.
However Marfrig have experience in the plant-based industry with ADM by producing plan-based meat products for the South American market. According to Market Watch, Marfrig will own 70% of PlantPlus and will handle production and distribution using their facilities in South America, while ADM will own 30% and will provide technical expertise and plant-based ingredients, flavours, and systems.
Chairman and CEO of ADM, Juan Luciano says: ‘Over the last several years, we’ve invested strategically to build strong leadership positions in fast-growing trend areas. Now, by expanding our relationship with Marfrig, we’re taking the next step in meeting exploding consumer demand for alternative proteins.’
While Marcos Molina, founder, and chairman of Marfrig says how the combination of both companies’ expertise will ‘provide our [their] new joint venture unparalleled scale and singular expertise for offering plant-based products of the highest quality.’
PlantPlus Foods will be launched and will start operations as soon as the businesses receive required regulatory approvals.