ADM to distribute sweeteners in Asia, Australia
DECATUR, ILL., and HONG KONG – Archer Daniels Midland Co. will become the exclusive distributor of certain sweetener and lysine products manufactured by Global Bio-chem Technology Group Co. Ltd. and/or its subsidiary, Global Sweeteners Holdings Ltd., to various markets in Asia and South America under a strategic alliance agreement.
The market territory for the sweetener products will include various Southeast Asian countries, the Far East, Australia and New Zealand. Decatur-based ADM maintains several regional sales offices in that part of the world, including ones in China, India, Singapore, Japan and Australia.
Global Sweeteners Holdings, which is listed on the Stock Exchange of Hong Kong Ltd., has annual production capacity of 1,200,000 tonnes of upstream corn refined products and 1,360,000 tonnes of corn sweeteners. The company produces and sells corn-refined products (including corn starch, corn oil, gluten meal and fiber) and various corn sweeteners (including glucose and maltitol syrup, high-fructose corn syrup, crystallized glucose and maltodextrin). Sales are made to manufacturers of food and beverage, chemical, confectionery, cosmetics and pharmaceutical products.
“We are glad to have one of the largest agricultural processors in the world as our strategic partner,” said Kong Zhanpeng, chairman of Global Sweeteners Holdings. “With ADM’s extensive and well-established distribution network, Global Sweeteners can expedite its business development and increase brand awareness in the sweetener market in Asia.”
Global Bio-chem, the parent company of Global Sweeteners Holdings, also is listed on the Stock Exchange of Hong Kong Ltd. Global Bio-chem is involved in the manufacture and sale, research and development of corn-based biochemical products in China. Its products are sold in China and worldwide.
ADM will distribute various Global Bio-chem lysine products to customers in Brazil and Argentina. Livestock producers use lysine, an amino acid, to improve the nutritional value of animal rations.
The alliance also formalizes the intention of the companies to develop a catalyst for improving the production of glycerin from carbohydrates. Such a development may bring cost-savings and efficiencies to the production of renewable propylene glycol and ethylene glycol, which may be used in place of petroleum-derived varieties in personal care products, pharmaceuticals and other applications.
“ADM is pleased to have the opportunity to provide many of the high-value products in Global Bio-chem’s portfolio to our extensive network of customers in Asia and South America,” said Ismael Roig, president of ADM Asia-Pacific. “This collaboration leverages the strength of both companies to the benefit of customers, and we anticipate a positive response on both continents.”
Xu Ziyi, executive director of Global Bio-chem, said, “We are delighted to join hands with global agricultural giant ADM to serve more markets in South America with our premium products. Moreover, the collaboration on the development of the catalyst shall enhance our R.&D. focus on production techniques and efficiency, and further improve development of our agricultural-based chemicals sector.”