Singapore: US grain giant Archer Daniels Midland is changing its operations in Asia in a big way.
“As populations and incomes across Asia continue to rise, diets are evolving. With that shift comes an increase in demand for crops and other products from agriculture. For decades, ADM has connected the world’s harvest with the Asian market,” said ADM chairman and ceo Patricia Woertz. “Now, we’re taking a series of actions to enhance our ability to efficiently serve that growing demand.
“As we previously announced, we’re investing to grow our food and feed production with the addition of two production facilities in China. We’re also making enhancements to our ports and logistics coordination throughout the Asia-Pacific region, and we’re adding and aligning talent to support growth. Together, these actions will strengthen our ability to serve our customers in the region and improve coordination between our operations within Asia and around the globe.”
Last month, ADM announced that the company is building a sweetener and soluble-fiber manufacturing complex at the port of Tianjin in North China to help meet growing demand in China and Asia for high-quality food ingredients that can serve a wide variety of needs. The sweetener facility is expected to be fully operational in early 2015, with the soluble fiber facility operational in the second half of 2015.
ADM announced last autumn that the company is constructing a facility in Nanjing to produce animal feed premix that can be added to animal rations to promote good health and optimal growth. Such premix formulas typically contain vitamins and minerals, amino acids such as lysine and threonine, and other ingredients. The facility is scheduled to begin operations in mid-2015 and will complement ADM’s existing feed premix plants in Dalian and Tianjin.
Through its acquisition of the remaining stake in Toepfer, ADM will strengthen its merchandising operations in Asia-Pacific. The combined ADM and Toepfer team in the region merchandises more than $14bn in commodities annually.
ADM will centralize coordination of its activities throughout Asia-Pacific by moving its regional headquarters from Shanghai to Singapore, which is the hub of the company’s regional merchandising operations. Ismael Roig, president, ADM Asia-Pacific, will have offices in both Singapore and Shanghai.
ADM will hire a new president of ADM China. The position will report to Roig, be based in Shanghai, and focus on growing ADM’s sweetener portfolio and feed business in China.
As part of an effort to strengthen ADM’s ports, merchandising and logistics across the region, Nigel Hart will join ADM as director, Asia-Pacific Ports and Storage Development. Hart brings 15 years of experience in corporate development and grain logistics, storage and merchandising, most recently with GrainCorp Limited. Based in Sydney, he will support the growth of ADM’s port, logistics and storage capabilities throughout Asia-Pacific. Hart will report to Roig. [13/06/14]