Archer Daniels Midland Company (ADM) acquires Rodelle Inc., to widen its certified and premium organic vanilla product offerings

  • Published | 24 September 2018

Archer Daniels Midland Company (ADM), a provider of food and beverage ingredients and solutions has announced the acquisition of Rodelle Inc., a premium originator, processor and supplier of vanilla products.

Archer Daniels Midland CompanyUnited States: ADM has acquired Rodelle Inc., to widen its portfolio with premium and high-quality vanilla products. The acquired company will also help ADM to gain a strategic partnership with Gourmet Gardens, that will offer sourcing of vanilla in Uganda. The decision came in light due to Adm’s desire to expand its human and animal nutrition offerings for customers. The collaboration will have a positive impact on the increasing demand for organic food and for food that consists of natural food additive, among the customers, across the world. Archer Daniel Midland Company (ADM), is among one of the leading agricultural processors and food ingredient providers and offers a wide range of specialty ingredients and blends. The company helps its customers to create consumer-preferred nutritional solutions via their on-trend and customizable portfolio of natural flavors and colors. Thus, they offer their customers an unmatched range of plant-based proteins, industry leading and science-backed bio-actives, as well as ingredients of food additives such as lecithin, Omega-3 solutions, hydrocolloids, probiotics, soluble fibers, polyols, texturants, and much more. According to Vince Macciocchi, senior vice president of ADM, the company’s aim “is to be the world’s leading nutrition company”. Thus, the company is taking aggressive action to achieve the same. In light of this decision, they acquired companies, like Protexin, a leading provider of probiotics and in the second leg of their acquisition, they collaborated with Rodelle Inc., that processes and sells premium vanilla products, along with organic and traditional extracts, spice blends and organic spices alcohol-free flavor, beans, and paste. The merger of ADM with Rodelle Inc., will also help ADM to gain a strategic advantage due to Rodelle’s partnership with local associations, that includes 2,100 registered vanilla farmers and also due to its partnership with Gourmet Gardens, that offer sourcing of vanilla from Uganda. Thus, the company’s move to collaborate with Rochelle, will help to increase its organic food ingredients and natural food additive offerings to its customers.

According to BlueWeave Consulting, due to the rising awareness of health concerns, like obesity, increasing levels of cholesterol, the customers, across the world are gradually shifting towards those kinds of foods, which they believe is made up of natural ingredients or food additives, rather than the synthetic or chemical blends. Overall, there is an emerging trend towards the organic food and natural ingredients. Thus, the global leading food and food ingredient suppliers in the market are taking strategic decisions to provide their customers with best-in-class natural food products. All the leading food and beverage players are gradually sourcing natural food additives from the ingredient providers to come up with products with natural blends, including natural flavours, colourants, etc. Even, the government regulations are supporting those companies which are focusing on natural food substances because of their higher consumer demand and their health benefits.

According to an upcoming report of BlueWeave Consulting, on “Global Food Additive Market, Trends & Forecast to 2024”, the global food additive market is significantly growing with a CAGR over 4% and is further expected to grow faster owing to an increase in demand towards processed and packaged food, along with rising technology innovation in the overall food and beverage industry. Moreover, there is an increasing demand for natural food additives over the synthetic ones, given the trend towards healthy food. In addition to the growth of natural food additives, the global Organic Food market is also growing significantly, driven by the surging disposable income in developing countries, like China, India, etc., coupled with the emerging concerns for environmental issues across the world.