“Acquiring 100% ownership in Verdient Foods enables Ingredion to accelerate net sales growth, further expand our manufacturing capability and co-create with our customers to serve the increasing consumer demand for plant-based foods,” said Jim Zallie, Ingredion’s president and chief executive officer. “Over the last two years, we have strategically invested over $200 million to build a leadership position in consumer-preferred plant-based proteins, which is central to Ingredion’s strategy and accelerating our Driving Growth Roadmap. We are well positioned to continue capitalizing on and benefiting from the megatrends driving the changes in the global food and beverage industry. We look forward to building on the foundation set by James and Suzy Amis Cameron, who have been pioneers in driving transformational change in the food industry and creating a shared sustainable future for all.”

Jim Cameron stated: “Ingredion is truly committed to breakthrough, innovative and sustainable plant-based solutions, and to revolutionizing food systems for the health of the planet. Our collective efforts and shared vision are about igniting change and delivering benefits to consumers around the world.”

As a result of the acquisition and once construction is complete on an adjacent facility, the Company will operate two facilities that can produce a wide range of high-quality, sustainable, specialty pulse-based concentrates and flours from peas, lentils and faba beans. Both facilities are located in Vanscoy, Saskatchewan, in the heart of Canada’s pulse-crop production area and serve as a prime location for the manufacturing and distribution of pulse-based ingredients to global markets.

ADVANCEMENTS OF PLANT-BASED PROTEIN SPECIALTY GROWTH PLATFORM

The acquisition of 100% of Verdient Foods Inc. is the latest in a series of actions and investments that the Company has taken to expand and advance its plant-based proteins specialty growth platform. It also recently announced two new senior executive appointments.

Recent Senior Executive Appointments

– On Oct. 1, 2020, Jeremy Xu, senior vice president and chief innovation officer, joined the Company from Royal DSM and is responsible for research and development and the technology strategy to advance the specialty growth platforms, as well as overseeing the Ingredion Idea Labs® innovation centers.

– On Aug. 31, 2020, Beth A.C. Tormey, vice president of plant-based proteins, joined the Company from

Lonza, where she last led the consumer health and nutrition business. At Ingredion, Tormey is responsible for driving the global execution and delivery of business volume, revenue and profitability targets for the plant-based proteins platform.

Timeline of Plant-based Protein Investments

2020

– Acquisition of 100% ownership of Verdient Foods Inc. further accelerating growth in plant-based proteins

– Investment in a Process Innovation Center in Bridgewater, NJ, enabling customers to test and develop formulations, ideas and solutions for plant-based meat alternatives

– Exclusive commercial agreement with Northern Quinoa Production Corporation (NorQuin) to globally distribute and market quinoa flours

2019

– Additional investments related to Verdient Foods Inc. to expand portfolio of plant-based proteins

– Investment in Clara Foods, a San Francisco-based biotech startup, to become exclusive, global go-to-market partner for certain developing animal-free proteins

– Investment in a dedicated innovation lab in Englewood, CO, focused on plant-based meat alternatives where food scientists and product developers apply formulation expertise to help customers accelerate product launches and improve existing recipes

2018

– Establish joint venture agreement with Verdient Foods Inc. to produce pulse-based protein concentrates and flours from peas for consumer food and animal nutrition applications

– Purchase facility in South Sioux City, NE, initiating significant capital investments to transform and accelerate its production of plant-based proteins

Source: Ingredion

Global plant-based ingredients market demand is expected to hit USD 13 trillion by 2025, according to a new research report by Global Market Insights, Inc. Increasing demand for nutritional content and inclination towards non-meat diets may foster plant based ingredients market. Growing consumer consciousness on allergen-free and high fiber food products has made them choose milk substitutes and dairy free beverages to deliver necessary protein requirement may stimulate the market for plant based ingredients.

Corn based ingredients market demand expects consumption at over 850 million tons in 2018. These are used in animal feed application owing to its rich protein content. Increasing animal health awareness among farmers and animal feed manufacturers may increase the demand for corn protein in animal feed as it aids in improving the livestock growth efficiency, thereby stimulating plant-based ingredients market demand.

Pea based ingredients market demand may observe significant gains at over 5% up to 2025. Growing demand for sports and dietary supplements pertaining to their high nutritional specifications as compared to other synthetic proteins may impact the product demand. These help effectively in muscle building & recovery and are ideal for those having a vegan lifestyle. Rising demand from fitness industry and various health centers has created a huge opportunity for pea proteins which may stimulate the plant based ingredients market growth.

Canola oil has gained popularity owing to its easy availability and diverse applications in cosmetics, food and health industries. It helps increasing immunity as it contains less saturated fats and is very effective for heart health. Rising demand of chemical-free products has increased the usage of canola oil in cosmetic industry pertaining to its anti-aging properties. Growing demand for natural skincare products pertaining to rising health concerns regarding synthetic chemicals is likely to boost the plant-based ingredients market demand.

U.S. potato-based ingredients market demand from animal feed application may witness significant gains at over 5% during the forecast period. Increasing awareness about animal health eating and rising demand for nutrient rich feed for consumers & animals may drive the overall market. Consumers are paying more attention towards label claims while purchasing food products which has led to increasing natural ingredients product demand owing to their high protein level thereby boosting plant-based ingredients market growth.

China soy-based ingredients market demand is expected to witness growth rate at over 6.5% by the end of forecast period. High processed meat and dairy have increased the risk of developing diabetes and cancer which has enhanced the demand of natural and less processed products diets. Changing public preference towards meat substitutes is likely to drive the plant based ingredients market growth.

Source: Global Market Insights