In response to an increasing worldwide demand for pectin, Danish ingredients company Danisco is to expand its Czech production capacity by 40 per cent to accommodate an expected growth rate of 5-6 per cent on the world market.
Based in Smirice, Danisco maintains that the newly expanded plant - due for completion in September 2003 - will increase the production of speciality products for the dairy and confectionery industries - industries in which significant growth is expected.
"The current 40 per cent expansion of the production capacity and the further development of our product types will accommodate part of the expected growth in the world consumption of pectin and reduce production costs," said Hans Henrik Hjorth, president, Danisco Textural Ingredients.
Currently, export from Smirice is primarily directed at countries outside the EU - countries in Eastern Europe, Asia and Africa. With EU enlargement imminent, and the integration of the Czech Republic, high tariff barriers will disappear and exports to EU countries will be made possible, said Danisco.
The company, that has a second pectin plant in Tecoman, Mexico, claims that its pectin market share is around 25 per cent with considerable growth within specialised applications.
Pectin, a stabiliser derived from the peel of citrus fruits, is used to provide texture to food, primarily in confectionery, jam, dairy products and the pharmaceutical industry.