Frutarom opens a EUR5m formulation center to answer a growing demand for natural colors.
The company has recently opened a natural color formulations center at its Etol plant in Celje, Slovenia, to provide its European customers full, customized service. The center will help clients with the application of natural colors , creating natural flavor combinations. Frutarom invested EUR5 million in advanced equipment and technology for the new facility.
The company has experienced double-digit growth annually in the natural colorants segment.
“Frutarom has taken full control of the supply chain through reverse integration in order to ensure safe, natural colorants, with complete traceability,” says Ori Yehudai, President and CEO of Frutarom.
Frutarom initiated dozens of agriculture collaborations with local farmers in multiple locations and countries, to ensure the supply of continuous and sustainable natural sourcing of pigments and food colorings. In addition, the company has increased the technical competencies for its already expansive extract capabilities. Frutarom owns facilities near the farms. Through these measures, the company plans to ensure transparency and traceability from the farm to the final product, as well reducing environmental impact and ensuring responsible sourcing to customers. The company can assure supply, meet volume demands, safeguard product quality, and provide seamless service at every juncture.
“This strategic move to become a major player in natural colors globally took only three years, but we put immense efforts and investments to do it right, and beneficial to the local farmers and our employees,” adds Yehudai.
The new formulation hub will serve 15,000 Frutarom’s customers in Europe—about 50% of the company’s global customers. The Etol facility provides extensive expertise in flavors and formulation development. The 90-year-old company was acquired by Frutarom in 2012.
“Etol has a solid reputation of successful cooperation with food and beverage customers in creating new flavor solutions,” says Yehudai. “Frutarom Etol is expanding its offerings to include a full range of natural colors manufactured with advanced technologies. Natural colors are much more challenging than synthetic colors in terms of their sensitivity, and if not incorporated correctly can be less stable in food and beverage applications.”