Blog: Katy AskewADM preparing Q3 chocolate sale

Katy Askew | 6 August 2014

Agri-giant Archer Daniels Midland Company plans to sell its global chocolate operations by the end of the third quarter, the company said this week.

Speaking to analysts during a conference call, ADM president Juan Luciano said: "We expect to have signed agreement by the end of the third quarter to sell our global chocolate business." Luciano did not provide details of who the buyer was.

The move follows news in April that ADM will hold onto its cocoa presses but sell its smaller chocolate businesses after negotiations to sell both -reportedly to Cargill - collapsed.

ADM has chocolate manufacturing facilities in the US, the UK, Belgium and Germany.

The B2B supply of chocolate and cocoa has - like much of the food industry - been undergoing a process of consolidation in recent years. While ADM will hold onto the bulk of this side of its business, the prospect of a sale - particularly if it is to a player like Cargill - could help create a group capable of competing with the might of Barry Callebaut in the space.

With chocolate makers from Mondelez International to Hershey and Mars all being forced to hike prices in response to a jump in cocoa costs, the industry will likely watch developments at ADM closely.

BLOG

Nestle starts advertising push for Maggi in India

Maggi noodles are yet to return to shelves in India but Nestle has started to pave the way for the brand's comeback with a series of social media ads....

BLOG

just-food closed - Monday 31 August

just-food is downing tools for the public holiday in England and Wales on Monday 31 August. We'll be back at our desks on Tuesday 1 September....

BLOG

Heinz under fire in Israel - but label still says 'ketchup'

Heinz's flagship product has provoked the ire of a competitor in Israel, a story that has attracted headlines in the international mainstream media. But even after making a change to the labels, a bot...

just-food homepage



Forgot your password?