IDM Interview: - Significant growth is expected

IDM_04_05_2016

IDM | Interview Significant growth is expected IDM-Interview on markets and sustainability from the view of a culture maker The fruit yogurt market in Western Europe has been on a decline for the past 5 years. But DuPont expect a growth of 2% CAGR now until 2020. IDM spoke with Didier Carcano, Marketing Strategy Leader, Probiotics & Cultures, DuPont, about the role of a culture maker in this context and the merger of the industry giant with Dow. IDM: Does the merger between DuPont and Dow Chemical in any way affect customers in the dairy industry? Carcano: We see the announcement of the intended merger of equals between Dow and DuPont as a win for our customers – each resulting business will have clear focus and the ability to deliver superior solutions and choices for customers. We expect to be an even better partner for all our customers including those within the dairy industry. The continuity and stability of our customer relationships is our top priority. Until the merger closes, which is expected sometime in the second half of next year, DuPont and Dow will continue to operate as two independent companies. Longer term, in preparation for the eventual changes we intend to pursue, planning will take place to assure that in every phase of this effort, customer needs are met and we continue to deliver the same high level of value added services and solutions customers have come to expect from DuPont. IDM: The fruit yogurt market is on the decline in many regions. What can be done against it from a culture supplier’s view? Carcano: In Western Europe* the fruit yogurt market value has shown a moderate decline from 2010 to 2015 (-0.6% CAGR), but from 2015 to 2020 it‘s expected to grow at a 2% CAGR. That growth will be higher in the US with a 3.5% CAGR and much higher in China with a 14% CAGR. As the global demand for fruit yogurt increases, it will open new opportunities for DuPont Nutrition & Health and the broad DuPont Danisco culture portfolio. Of particular interest are our premium texturizing cultures for very creamy and low sugar fruit yogurt in the US and EU, and our probiotic yogurt cultures that can be used in fruit yogurt and have been developed to address the growing demand of Chinese and Asian consumers. * Euromonitor passport data (Western Europe includes 16 western Europe countries and Turkey) IDM: Where do you see the actual main market trends when it comes to cultures for dairy? Carcano: Consumer demand for natural and clean label yogurt increases the global demand for premium texturizing yogurt cultures which can deliver a premium, high and creamy texture in the absence of starch and added texturizing ingredients. Increased consumer demand for higher differentiation is being driven by their local preferences, creating demand for a very broad range of yogurt cultures that provide a wide variety of tastes and textures to be used in products like kefir, tvorog, ryazhenka, and greek yogurt. In this context one can also foresee a broader biodiversity of cultures used in fermented dairy products, coming with an identified origin and a well characterized identity. In addition, in the mature yogurt countries, the demand for higher yogurt productivity and production output increases the demand for fast acidifying yogurt cultures which provide the same flavor profile as slower cultures. IDM: What does sustainability mean to a culture maker? (photo: DuPont) 16 · 4-5 2016 | international-dairy.com


IDM_04_05_2016
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