BioMar sales up as company turns focus to Chinese feed market
Denmark-based BioMar Group is focusing on the market for sustainable feed in China and Australia, the company said in the release of its quarterly results.
BioMar is “very focused in the continuous development of the operations China focusing on the significant market for high performing feed in the country,” the company said in a statement.
The company is wrapping up construction of a new factory in Wuxi and is “experiencing good development of the Haiwei factory in the south of China,” BioMar said.
Meanwhile, the firm’s sales volume soared 28 percent in the most recent quarter, mainly driven by the salmon markets in Europe.
“Innovative products integrating high performance, functional feeds and sustainability concepts have shown to be a very strong platform for growth,” the company said.
BioMar expect revenue to reach DKK 9.8 billion (USD 1.5 billion, EUR 1.3 billion) in 2017, which will be a record year for the company.
“We are proud that we have been able to create solid partnerships with customers as well as suppliers in our effort to develop the industry. We are right now taking major steps in improving our ability to design and document truly sustainable products together with the customers,” said BioMar CEO Carlos Diaz.
To that end, the feed supplier will soon launch its Triple S (Sustainable Solution Steering) tool, which will enable the company “to enhance transparency and measure the sustainability of our products looking all the way up the value chain,” Diaz said.
“At the same time, we are striving to build a very strong pipeline for new, innovative raw materials improving the sustainability of the industry,” Diaz added.
BioMar also recently acquired a 70 percent stake in Alimentsa in Ecuador, “which together with the existing factories in South and Central America, will compose a strong production footprint and a solid platform for the continuous development of high-end shrimp feed,” BioMar said.
The company aims to create a solid foothold in Ecuador with the transaction, which is one of the world’s leading shrimp-producing countries, generating a volume of more than 450,000 metric tons of shrimp.
BioMar recently announced the construction of a new factory in Australia.
“The factory is going to complement the strong salmon division and work closely together with the local customers developing feed for other species in the region,” BioMar said. “The amplified range of expansion projects will add growth possibilities in markets where BioMar believes to be able to contribute with knowledge and experience."