The plant will produce starch derivatives to serve the confectionery, infant formula and dairy industries
Catering to the growing demand from India’s confectionery, infant formula, and dairy sectors, Cargill inaugurated a new corn milling plant in Gwalior, Madhya Pradesh, set up by Saatvik Agro Processors, an Indian manufacturer.
With a combined market value of $15 billion, these sectors are witnessing high annual compounded growth rates of between 6 and 11 per cent over the next five years, leading to increased demand for starch derivatives which are used as a thickening or stabilising agents to achieve desired texture, viscosity and mouthfeel in consumer products like gummies, jellies, fillings, yoghurt, cheese, processed milk and infant formula.
Cargill has a business arrangement with Saatvik, who has established this dedicated production facility for starch derivatives with an initial output capacity of 500 tonnes per day, which can be expanded to 1,000 tons per day. This facility combines Cargill’s global product capabilities, customer network and market access opportunities with local manufacturing capabilities and the operational know-how of the Indian partner to bring a consistent supply of safe, high-quality solutions to Cargill’s food manufacturing customers in India.
The plant will operate on an exclusive arrangement for Cargill, adhering to the company’s stringent global food safety and quality standards while also driving innovation and process efficiencies for the industry. This further increases Cargill’s production capacity in India while creating supply chain efficiencies that food manufacturers rely on to meet growing consumer demand. The expansion will also enable Cargill to serve customers across North, Central, and Western India more effectively, reducing dependence on supply from the South, and optimising both costs and logistics.