ADM will build the new feed premix facility in Xiangtan, central China. New aquaculture feed production lines will also be installed at the factory in Nanjing, based in the eastern Jiangsu province.
“One of the main pillars of our strategy to increase shareholder value is enhancing our footprint in areas of growing demand,” said Brent Fenton, president of ADM Animal Nutrition.
“Population growth and higher disposable incomes are continuing to support increased animal protein – and thus animal feed demand – in China.
“Our new Xiangtan feed premix facility – our fifth animal feed plant in the country – will position us to continue meeting this increased demand in the central part of the country, and the addition of four aquaculture feed lines at our Nanjing plant will offer us entry into the growing Chinese high-value speciality aquafeed market.”
The new plant in Xiangtan will be able to produce around 120,000 tonnes (t) of premix, concentrate, and both complete animal and fish feed. ADM chose the region as it is “strategically located” to three central Chinese provinces: Hunan, Hubei and Guangxi.
Once work on building additional aquaculture lines at the Nanjing facility is complete, ADM will see a production uplift of some 50,000 tonnes of extruded and pelleted feeds.
Both projects should be completed by 2019.
ADM could not be reached to comment on how many jobs would be needed to operate the new factory in Xiangtan.
ADM Animal Nutrition is a branch of the global agricultural processor and food ingredients provider ADM. The parent company has 32,000 employees worldwide, 500 crop procurement sites, 250 ingredient manufacturing factories and 38 innovation centres.