NutraCea confirms production capacity increase

By staff reporter

- Last updated on GMT

Related tags: Rice bran, Nutrition, Nutracea

Stabilized maker NutraCea has announced it has completed the second
expansion at its processing facility in Dillon, Montana according
to schedule and within budget, thereby increasing capacity.

"This second expansion of the Dillon, Montana facility increases NutraCea's capacity to produce value-added fractions derived from stabilized rice bran from 1,800 to 2,700 tons annually. This additional capacity is required to meet the growing demand for these products,"​ said NutraCea COO, Leo Gingras. The company has been aggressively increasing production capacity of late, with an additional facility in Louisana. Stabilized rice bran is a rich source of vitamins, minerals, and antioxidants that is normally discarded during rice processing. The Phoenix, Arizona-based manufacturer intends to use its ingredient's growth potential in the mainstream functional food industry to support its humanitarian aims of bringing a cost efficient ingredient to the developing world. The company's business strategy looks to be working as it reported in its recent Q1 results that revenues climbed from $5.6m in 2005 to $18.1m for 2006 over the same period. In April, NutraCea entered into an agreement with agribusiness giant Archer Daniels Midland (ADM) for the production of stabilized rice bran . ADM Rice will use the company's proprietary rice stabilization technology at its Arbuckle, California facility and produce stabilized rice bran for distribution to the human and animal feed markets. NutraCea has been promoting the ingredient as a means of eradicating malnutrition around the world, through the use of what is generally discarded as a waste product, but said it needs the financing from activities in the food industry first in order to make this viable. The company underscores the nutraceutical properties of rice bran surround a complex of vitamin E referred to as "tocotrienols" as well as gamaoryzanol. According to NutraCea, the compounds are only found in rice and are powerful antioxidants. The stabilized rice bran is also marketed for its purportedly high levels of B-complex vitamins, betacarotene, and soluble and insoluble fiber. The company recently announced the signing of a distribution agreement with Mexican group FX Morales, whose customers include multinationals Grupo Gamesa (Frito Lay, Pepsico, Quaker, Gatorade) Grupo Bimbo, Grupo Maseca, Kellogg, Nestle, Kraft, Unilever and Bristol Myers Squibb. In addition, it has said it is had numerous other agreements currently in the making.

Related topics: Suppliers, Polyphenols

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