SÃO PAULO, BRAZIL — Bunge Brazil plans to invest 500 million real ($223 million) in the construction of a new flour mill in Duque de Caxias, Rio de Janeiro, Brazil, the company said April 3. The new venture will integrate the current mill and Fluminense Rio Distribution Centre, which will be transferred to a single location.

"In reaching its full capacity, the new mill will grind Fluminense over 600,000 tonnes of wheat per year, which represents an increase of over 50% on what is being processed in the current mill," said Philip Affonso Ferreira, vice-president of Food & Ingredients Bunge Brazil.

The new mill is expected to be inaugurated in 2016. Bunge Brazil then will have three of the largest mills in Latin America: Fluminense, Suape and Ponta Grossa.

The company plans to transfer employees from current units (mill and distribution center) to the new venture. Bunge Brazil is negotiating with state and local authorities to work to improve the infrastructure in the mill’s region.