FRANCE- Adisseo, a leading manufacturer of feed supplements for animal nutrition, has announced its decision to centralize all French powder methionine production at Roches-Roussillon. 

This move is driven by the company’s commitment to adapting its industrial facilities to a highly competitive environment and safeguarding the competitiveness of its methionine activities in Europe.

The decision comes in response to evolving market conditions, with worldwide methionine production capacity outpacing demand, leading to a significant supply-demand mismatch, particularly in Europe, where powdered methionine demand is declining. 

The company has chosen not to restart its powder methionine workshop at the Commentry site, which has been idle since October 2022 due to structural deterioration in market conditions.

The worldwide utilization rate of industrial tools is expected to decline by approximately 15% between 2023 and 2026, dropping to 80% compared to almost 95% in 2018. Adisseo’s decision not to restart the Commentry site will result in the reduction of 47 net jobs, out of a total workforce of 335 as of December 1, 2023.

In response to the job cuts, Adisseo plans to implement an internal redeployment and voluntary redundancy plan to support affected employees. The company will also negotiate measures for a robust job protection plan with the trade unions.

Hervé Alexandre, Executive Director of Adisseo’s Methionine SBU, commented on the industry’s changing landscape, stating, “We are facing a significant and lasting change in the methionine market, both worldwide and in Europe. The challenge for Adisseo is to maintain its global competitiveness in this sector, in an economic context under pressure.

While the Commentry site undergoes this transition, Adisseo remains committed to preserving its industrial footprint in the area. The company has invested nearly EUR30 million (US$32.5 million) in Commentry between 2021 and 2023 and plans an additional EUR20 (US$20.18)million investment in 2025. 

The focus will shift to the production of Smartamine, a high-value product for which Commentry is the world’s leading manufacturer, and vitamin A, with a recent investment of EUR2 (US$2.18) million.

Adisseo also expressed commitment to identifying potential partners or industrial projects interested in utilizing the Commentry platform, leveraging its infrastructure and know-how. The company assures that other sites within the European platform, particularly in France, are not affected by this consolidation project.

The move is part of Adisseo’s broader strategy to maintain its global competitiveness in the methionine sector while adapting to changing market dynamics and ensuring a sustainable future for its operations.

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