Dutch bakery supplies business CSM has announced that it will cut 200 jobs from its workforce across Germany, France and the US in the next two months in response to plummeting sales and falling consumer confidence.
The Danisco deal to spin-off of its sugar arm to Germany's Nordzucker faces delays after German competition authorities take their review into a second phase, opting to investigate the €750m takeover further.
Specialty fats firm AAK has said that the falling price of vegetable oils will help keep its financial situation in good health – especially useful when acquisitions and organic growth in food ingredients are on the horizon.
CSM has sold its gluconates plant in Ter Apelkanaal to Avebe, as part of its manufacturing restructuring. The sale agreement was announced in July, and all 68 employees have transferred to the new owner. The value of the sale is not disclosed.
The European Commission cleared the acquisition of the baker’s yeast division of Gilde Bakery Ingredients by Associated British Foods on Tuesday following ABF’s acceptance of conditions to ensure that sufficient market competition is retained.
Lower futures prices for wheat herald a shaving of input costs for bakers and millers, with the collapse of Lehman Brothers and the near-bankcruptcy of global insurer AIG arguably hitting agricultural quotations downwards.
Danisco has charged an internal task force with identifying new applications for xylitol, as the sweetener continues to blight its otherwise positive financial results – but has reduced production in the meantime.
Higher food prices have led to larger areas planted with cereals in Russia and Ukraine, which is expected to result in higher agricultural output this year, according to the UN’s Food and Agriculture Organization.