Edible oil maker Cargill has acquired an edible oil refinery located in Nellore, Andhra Pradesh. The $35 million investment to acquire and upgrade the facility will “significantly” expand Cargill’s edible oil production capacity and footprint in southern India, it said.
The facility is expected to be fully operational by May 2022. The investment will help it meet growing customer demand, the maker of Nature Fresh and Gemini edible oils said in a statement on Tuesday
“We have driven significant growth of our edible oils business in India over the last few years. This acquisition propels our expansion, specifically in southern India, and demonstrates our commitment to India and our customers in the country,” said Piyush Patnaik, managing director of Cargill’s edible oils business in India.
The newly acquired refinery will help Cargill supply refined palm oil, palm olein, vanaspati and sunflower oil, which accounts for nearly two-thirds of the country’s sunflower oil consumption and is currently being underserved.
“This facility also allows Cargill to produce and package its own edible oil brands for retailers and to better serve bakery and foodservice customers in the region. The refinery expands Cargill’s offerings into Andhra Pradesh, Telangana, Karnataka and Tamil Nadu,” the company said in a statement.
This acquisition aligns with our tailored and localized market approach for Asia that will drive global growth in food and agriculture said Patnaik.
Cargill has been selling edible oils in India since 2001.
Source: Mint