ADM and Vland to launch probiotics joint venture in China

The joint venture, which is subject to regulatory approval, is expected to launch in the first half of 2022

ADM and Qingdao Vland Biotech Group, a producer of enzymes and probiotics, have agreed to form a joint venture to serve the Chinese market demand for human probiotics.

“This exciting new joint venture represents the latest expansion in our full-scale global health & wellness business, which is helping propel growth across our entire human and animal nutrition portfolio, and creating value for ADM and customers alike,” said Vince Macciocchi, President of ADM’s Nutrition business.

“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 $1bn 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.”

“Vland is quite excited to partner with ADM to explore the promising market of human probiotics,” said Aron Chen, CEO of Vland. “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.”

The joint venture will manufacture and sell human probiotics, the companies say, combining experience from both to encompass 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.

ADM has made several growth investments to build a full-scale global health & wellness business to meet this demand, including acquisitions including Protexin and Biopolis, organic projects such as the expansion in probiotics production at the company’s Valencia facility, and partnerships including a prior collaboration with Vland.

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