US agribusiness giant Archer Daniels Midland (ADM) is to purchase Polish rapeseed processing firm Elstar Oils.

The acquisition, ADM said on Saturday (13 August), is “an important step” in the expansion of its oilseed processing, food manufacturing and biodiesel capabilities.

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Warsaw-listed Elstar produces rapeseed oil and vegetable fats directed at the domestic and business-to-business market in Poland. The company has an annual rapeseed crush capacity of around 400,000 tons.

“Poland is an important origination and consumer market for ADM,” said ADM Europe president Brent Fenton. “Elstar’s location in the heart of a rapeseed growing region, with easy access to the ports of Gdansk and Gdynia, complements our existing presence in the region and will enable ADM to further strengthen its position in Eastern Europe. The biodiesel plant will enable ADM to develop the biodiesel market in Poland and fits well within the company’s integrated business model.”

No financial details of the deal were disclosed. The purchase is subject to antitrust authority approval.

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