Frutarom Industries will build a food compound plant in Russia next year at an initial investment of US$21m, according to Ori Yehudai, Frutarom president and CEO.

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Yehudai added that Frutarom’s sales in Russia are expected to reach US$7m this year, compared with US$3m last year. The company expects its sales in Russia to reach US$10m next year.

Frutarom is traded on the Tel Aviv Stock Exchange. The company’s market value is NIS244m (US$52.4m).

The new plant in Russia, according to a report in Globes, will manufacture food extracts and seasoning compounds in an existing structure in Russia, rather than building a new plant. The company currently employs 30 marketing and sales people, and 20 additional staff will be hired for the new plant in Russia. Yehudai commented that the company plans to establish a marketing office in Japan.

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