ADM snaps up Nutreco subsidiary in Indonesia

By Jane Byrne

- Last updated on GMT

© GettyImages/RapidEye
© GettyImages/RapidEye

Related tags Adm Trouw Nutrition Indonesia premix Poultry eggs

ADM has reached an agreement to acquire premix manufacturer, PT Trouw Nutrition Indonesia, a subsidiary of Nutreco.

The acquisition encompasses two premix production facilities—known as the Pasuruan site in Surabaya and the Cibitung site in Jakarta—as well as laboratories, warehouses and offices across Indonesia.

The US company is not disclosing the value of the deal.

“We recognize PT Trouw Nutrition Indonesia as a leader in providing functional and nutritional solutions for sustainable livestock farming in Indonesia. This strategic move aims to foster synergy between our two entities, propelling us forward in building a global leader in nutrition,” says Gerald Wilflingseder, president of ADM’s animal nutrition business in APAC.

Expanded footprint 

The acquisition will complement ADM's regional footprint, he adds

"It will enable us to enhance our premix production capabilities, ensuring that we are strongly positioned to provide localized solutions and customized services swiftly to customers in Indonesia and the broader region.”

ADM has eight facilities across Asia Pacific, including five premix plants in China, one premix facility in both Vietnam and the Philippines, and one feed additive facility in China. “Our total production capacity in the APAC region is roughly 1.2M metric tons per year, including complete feed, premix, aqua feed, pet food and feed additives. From our plants in Asia, we serve customers across all of Asia, Oceania as well as Africa.”

Looking to the key animal protein trends in Indonesia, Wilflingseder told us: “As the largest protein market in the Southeast Asia, Indonesia’s market outlook is projected for continuous growth, aligned with the increase of both animal protein consumption and population expansion. Greater economic development is associated with more animal protein, particularly from poultry and eggs, which may displace fish, the traditional source of high-quality protein for the region. Higher consumption frequencies of red meat and dairy are associated with modern urban living and more affluent socioeconomic status.” 

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