Singapore-based agri-commodity firm Agrocorp International has formed a joint venture (JV) with one of Japan’s dairy giant Megmilk Snow Brand to manufacture and market plant-based food ingredients.
The planned JV entity, Agro Snow, will be established in Singapore with a capital stock of about US$21 million. The firm will be 51% owned by Agrocorp and 49% by Megmilk.
A wholly-owned subsidiary in Malaysia will also be established, where a plant will be set up to manufacture plant protein and starch isolates to meet the growing demand for plant-based food and beverages.
The JV follows Megmilk’s medium-term management plan 2025, in which it recognises plant-based food business as an important new business area.
Agrocorp director of strategic investments Vishal Vijay says the company looks forward to collaborating with Megmilk to further its capabilities downstream in the plant protein extraction business. “This is our second major investment in protein extraction after our first facility in Saskatchewan, Canada and we hope to be able to service the growing demand in Asia for plant-based food.”
