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In our last Guar Market Update sent on 1st June 2010 we had informed everyone that “Guar Gum prices are more or less at the same level as that in mid April 2010.
A fire at an agar plant in Southern Chile occurred on Sunday August 15. The fire was severe and destroyed the entire factory and stocks of Proagar in Llanquihue, Puerto Montt.
CP Kelco Announces Global Price Increase across All Product Lines
CP Kelco announces expansion of world's largest pectin production plant
Xanthan Report 2010 The xanthan gum market, approx $450M, is driven by three main categories Food, approx $194 m where sauces and dressings is the key application Oil, appro
Indian Monsoon & Guar Market Update as on 1st June 2010
A new article from CyberColloids on rediscovering the health benefits from seaweeds. Seaweed Article
A selection of videos from the recent IMR conference in Berlin are available on the web. Ross Campbell discusses "A Healthy Future for Hydrocolloids" - link Ross Clark discusses "Maximising the Innovation Potential of Hydrocolloids - link and the master of the conference himself:
It is reported that: Norevo has acquired the assets of ALW.
Title: Handbook of Hydrocolloids Edited: G.O.P
FMC Corporation has announced that they have reached an agreement to acquire the hydrocolloids business of ISP Corporation. The deal will include the Girvan (Scotland) alginates factory but will not include Germinal, the Brazilian blending business. ISP's hydrocolloid ingredients business had revenues of approximately $80 million in 2007.
The announcement reads:
CP Kelco have announced the closure of their Knowsley xanthan facility. The factory has had a mixed history, originally built by Tate & Lyle and then sold to Kelco. The factory was exepcted to close recently but was reprieved as a source of GM free xanthan not available in most US fermentation systems. However with the increase in GM free xanthan from China the Knowsley facility is no longer essential to the CP Kelco portfolio. The announcement reads:
Tate & Lyle has anoounced that it is in the final stages of discussions with Syral SAS on the disposal of certain businesses including the starch business. A full copy of the anouncement is below:
The industry has been watching for several years to identify who are going to be the serious players in the blends business of the future. The key pieces of activity industry watchers were looking for was who would buy CCI and who would buy G.C. Hahn. Now the answer is clear - Tate & Lyle. Other companies who claim to be serious about a global blends activity have very much tinkered around the edges buying up smaller players but Tate & Lyle has jumped ahead of them all with its latest acquisition of G.C. Hahn.
Bayer announced in March their intention to divest of Wolff Walsrode as part of their plan to finance the acquisition of Schering AG. Today they announced that they are planning to sell the business to Dow Chemicals who are already the largest producer of non ionic cellulose ethers globally. The transaction is expected to close in the first half of 2007, subject to regulatory approval. Financial terms have not been disclosed. The full anouncement reads:
6th Nov 2006 The hydrocolloid world is seeing more price rises with announcements from National Starch and Chemical and Jungbunzlauer
26th Oct 2006 The 14th Gums and Stabilisers for the Food Industry conference has been announced with a main theme of "Formulating Healthier Foods and the Role of Hydrocolloids" The conference dates are Monday 18th - Friday 22nd June 2007.
26th Oct 2006 CP Kelco announced today a series of global price rises across their hydrocolloids portfolio. Carrageenan and pectin sees the biggest prices rises (8%) whereas the biogums are lower at 3-5%. At a time when it is widely believed that Chinese penetration of the xanthan market may have reached a plateau due to technical differences between western and Chinese xanthan grades such a price rise might be achievable in the short term. The full report reads:
21st June 2006 CP Kelco has announced an expansion of the recently acquired Shandong Gold Millet plant in China (see Shandong acquisition. CP Kelco are the largest manufacturer of xanthan gum and the acquisition of Shandong was a strategically important move to maintain their position in an increasingly competitive market with growing Chinese competition. The full announcement reads
20th April 2006 The long awaited World Seaweed Resources DVD has been launched and certainly surpasses my expectations. I was expecting a series of authoritative articles presented on a DVD as a cheaper method of delivery than printing a paper copy; authoritative but a little dusty. What a surprise I was in for.
30th March 2006 In an address by the Chairman of Bayer, Werner Wenning, at a news conference on Friday, March 24, 2006, in Leverkusen it was announced that Bayer would acquire Schering AG. It was also revealed that this would be partly financed by the disposal of Bayer subsidiaries H.C. Starck and Wolff Walsrode, which are currently part of the Bayer Materials Science group. A full transcript is available at:
15th March 2006 CP Kelco announced today that they had acquired 100% of the Shandong Gold Millet Biological Products Company, one of the many xanthan producers in China. In recent years the xanthan market has changed dramatically with the emergence of a large number of new manufacturers based in China. This has led to consequent severe price pressure and a steadily falling xanthan price compared to the heady days when only a small number of US and European companies dominated the market.
5th December 2005 Tate & Lyle entered the hydrocolloids world in force today acquiring both Cesalpinia and CCI. Tate & Lyle have been talking about entering the hydrocolloids world by building a xanthan plant for several years. Many people felt that with the rise of Chinese xanthan production this could be an unwise strategy. However, with todays acquisitions, Tate & Lyle have joined the ranks of Kerry and Cargill as new, up and coming entrants in the hydrocolloids world. The announcement reads
9th September 2005 Months of speculation finally ended today with the outcome that most industry observers had expected all along.
9th June 2005 ISP have announced a major change in their alginate production with the transfer of many of their products to the Girvan factory in Scotland. The final outworking of this change will be the closure of alginate production at the San Diego early next year.
Friday 13th of May 2005Natraceutical announced that they will purchase the Braes group for Euro 80 million. The Braes group includes the Swiss pectin and fruit/vegetable processing company Obipektin and the Overseal company.
6thApril 2005 The LBG supply situation is tight again. This appears to be a regular 10 year cycle! Opinion in the industry is that most suppliers can supply at short notice if the volumes are not too large. However prices are high because the raw material was bought at a high price.
8thMarch 2005 Cargill have announced that they intend to buy the liquidated Citrico business further expanding their penetration into the hydrocolloids world. The full anouncement reads: Cobham, UK - Cargill has announced that it intends to acquire the global pectin business of Citrico, a manufacturer and international supplier of citrus products for the food, beverage and pharmaceutical industries. The deal is subject to regulatory approval.
18thOctober 2004 Companies have until the 7th november to ensure they have notified the EU commission of products to be included in the new animal feed regulations. Companies appear to have been caught on the hop! The following note was supplied by AJH Consulting. If you have yet to send in your notification then we recommend using AJH Consulting to ensure you notifications are complete and on time.
13thOctober 2004 Degussa announced today the intention to sell their food ingredients division. Degussa is one of the major players in the hydrocolloids world with well known products in area of pectin, carrageenan and xanthan gum. The official statement reads:
15th September 2004Rumours of the liquidation of Citrico International have been sweeping through the hydrocolloids industry. However the new pectin factory in Germany is said not to be for sale. Citrico International is in the hands of the liquidator until a buyer for the business can be found, however the plant in Malchin will not file for insolvency. The Malchin plant cost $46.7M and was opened in 2001 with a capacity of 4500t.
26th July 2004 In a, not unexpected move, the JM Huber company has bought the remaining share of CP Kelco from Lehman brothers bank. This has propelled JM Huber to a top position in the hydrocolloids world. CP Kelco, with a world leading position in xanthan and pectin and a quite respectable position in carrageenan, was formed from Copenhagen Pectin and Kelco. JM Huber already has a number one position in CMC with its Noviant division.
15th June 2004 Danisco, who seem to be rapidly becoming the hydrocolloids superpower, have added another string to their bow with the acquisition of the Scotcol Biopolymers carrageenan factory. Danisco have acquired the factory and equipment but not the business, which was sold in a separate deal. The full announcement reads: Danisco buys equipment for semi-refined carrageenan production in Scotland Danisco Textural Ingredients has purchased a full production line for processing semi-refined carrageenan (PES) from Scottish Scotcol.
Lehman brothers bank holds the bulk of the CP Kelco shareholding (71.43%), but thats likely to change soon! With the recent sale of the Hercules shares going to the Huber Corporation and with Huber's acquisition of Noviant, the largest CMC manufacturer in the world the Huber corporation must be one of the front runners for acquiring the remaining shares. It would fit the perceived strategy that Huber wishes to become a major player in hydrocolloids and would make them the largest player in xanthan and pectin as well as CMC with a very respectable position in carrageenan on top.
Hydrocolloids - Andrew Hoefler Title: Hydrocolloids Author: Andrew Hoefler Price: Euro 69 ($69) ISBN: 1-891127-38-1 Copyright: 2004
The Lubrizol Corporation Announces Tender Offer and Consent Solicitation for Noveon, Incs 11.00% Subordinated Notes due 2011. Noveon have been the main drivers in developing Cassia Tora usage taking on the mantle from Diamalt. Lubrizol are another company who are new to the hydrocollodis world have entered it through acquisition. The full release from Lubrizol reads:
22nd April 2004 Rhodia today announced several developments regarding its divestiture program inlcuding the sale if its 50% share in Gelymar. The statement from Rhodia reads:
21st April 2004 RPIC have sent us a rebuttal to an earlier note we published. The note explains the relationship between Marcel Trading and RPIC. To be fair to all sides in this dispute we are publishing the statement in full below: