USA- Through its Bunge Loders Croklaan joint venture with IOI Corporation Berhad, Bunge Ltd. will acquire a newly constructed, port-based refinery from Fuji Oil New Orleans, LLC in IMTT’s (International-Matex Tank Terminals) Avondale Terminal, Louisiana.
Bunge Loders Croklaan buys soft seed and tropical oils, such as palm, coconut, and shea, and sources plant-based oils, transforming and refining them.
The agri-giant partners with customers to develop tailored products for use in confectionery production, baking, culinary preparations, and animal nutrition, and in non-food operations such as the production of candles and personal care products.
On the other hand, Fuji Oil New Orleans has been producing ingredients for the commercial food industry since its foundation in 1987. Its four business fields include vegetable oils and fats, industrial chocolate, emulsified and fermented ingredients, and soy-based ingredients.
According to Bunge, the new facility has multi-oil refining capabilities and will enable Bunge to expand its existing customer base and provide Bunge with “a scalable, complementary port-based footprint capable of connecting North American food, feed, and fuel customers to global markets.”
Bunge expects to serve customers with the newly acquired capacity starting in the second quarter of 2023 with plans to significantly expand the facility’s current capacity to create new jobs in the near future.
“This acquisition delivers on our long-term strategy to expand our value-added oils business by accelerating reach across North America,” said Aaron Buettner, president of Food Solutions at Bunge.
The facility was in construction from 2018 to 2021 and is now ready for utilization in multi-oil refining.
“We are excited for the opportunity to continue to expand and grow, working alongside great local partners such as IMTT, with who Bunge has had an 80-year partnership with storing and shipping vegetable oils in the Gulf.” Brett Caplice, vice president of refined and specialty oils in North America at Bunge, added.
Although the financial terms of the agreement remain obscure, Fuji Oil has agreed to transfer the fixed assets of Fuji Oil New Orleans to Loders Croklaan and plans to complete the transfer by the middle of April 2023.