Cargill, Royal DSM establish joint venture to bring zero-calorie sweeteners to market
Cargill and Royal DSM, a global science-based company in nutrition, health, and sustainable living, have announced a new joint venture to meet the need for non-artificial, zero-calorie, great-tasting sweetener options.
Cargill and Royal DSM, a global science-based company in nutrition, health, and sustainable living, have announced a new joint venture to meet the need for non-artificial, zero-calorie, great-tasting sweetener options. Under the name Avansya, the companies will produce sweet-tasting molecules, such as steviol glycosides reb M and reb D, through fermentation, giving food and beverage manufacturers a scalable, sustainable, and low cost-in-use solution.
The new venture will combine both companies’ technologies for producing steviol glycoside products made through fermentation and will market its products under one brand name, EverSweet. DSM brings its leading biotechnology know-how, providing research and development expertise, including strain development and fermentation process development capabilities, as well as customer relationships in specific market segments. Cargill brings its application expertise and global commercial footprint in the sweetener market, as well as large-scale fermentation capacity with access to co-located, raw material suppliers at its Blair, Neb. site. The joint venture will make use of a new fermentation facility being built at the site in Blair, which is expected to be completed and operating in summer 2019.
The joint venture will be a 50–50 partnership between the two companies. The establishment of the joint venture is subject to regulatory approvals and other customary closing conditions but expected to be finalized in the first calendar quarter of 2019.
“The demand for sugar-reduction solutions is urgent, global, and growing fast,” said Chris Simons, Cargill vice president food segment North America. “While consumers are searching out foods and beverages that help meet their dietary needs or goals, whether for a diabetic diet or simply reducing calories and sugar intake, brand owners know that great taste can’t be compromised. By partnering with DSM, we can further advance a commercialized reb M and reb D product line that offers what consumers desire.”