ADM and Qingdao Vland Biotech Group Co., Ltd. (Vland), a producer of enzymes and probiotics, have announced that they have agreed to form a joint venture to serve growing Chinese demand for human probiotics.
The 50-50 joint venture will manufacture and sell human probiotics, bringing together expertise and experience from both ADM and Vland to encompass a full range of technology, production and commercial capabilities, from pre-clinical trial design to manufacturing to go-to-market strategy and execution.
The joint venture, which is subject to regulatory approval, is expected to launch in the first half of 2022.
Vince Macciocchi, president of ADM’s Nutrition business, said, “This exciting new joint venture represents the latest expansion in our full-scale global health and wellness business, which is helping propel growth across our entire human and animal nutrition portfolio, and creating value for ADM and customers alike. We’re excited to partner with Vland to help meet the needs of consumers who are becoming increasingly aware of the strong linkage between health of the gut microbiome and their overall health. Retail demand for probiotics in China is estimated to be $1 billion in 2022, with annual growth of more than 9%, and we believe this new venture—powered by the expertise and experience of both ADM and Vland—is perfectly positioned to play a leading role in meeting that demand.”
Aron Chen, CEO of Vland, said, “Vland is quite excited to partner with ADM to explore the promising market of human probiotics. We believe this strong partnership between Vland and ADM—powered by the technology, brand and sales channels of both parties—will be perfectly positioned to expand production and meet demand for high-quality human probiotics in China and for global customers.”