APAC's dairy-alternative and plant-based protein trends spur CP Kelco's regional expansion

08-Apr-2019 - Last updated on 08-Apr-2019 at 01:29 GMT

The US-headquartered company is best known for its production of micro-particulated whey protein concentrate, pectin, and a variety of gums for F&B, industrial and consumer product manufacturers. ©Getty Images

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CP Kelco is eyeing aggressive APAC expansion with its recent global brand strategy launch, with the Philippines, Malaysia and Pakistan topping the list of countries for market entry, on the back of growing demand for plant-based protein and dairy alternatives.

With a focus on “high-quality, nature-based ingredients”, the company kicked off a brand awareness campaign to showcase its new website’s content resources, which cover sustainability, trends in protein and texture, and clean-label solutions.

President Didier Viala hopes this will increase CP Kelco’s visibility among “decision makers and opinion leaders” in the markets the firm serves — within the APAC region, these include Singapore, China, India, South Korea, Thailand, Vietnam, Indonesia, Australia and New Zealand.

Aiming for APAC

Viala told NutraIngredients-Asia: “We officially introduced our new brand at the 2019 Food Ingredients China show in Shanghai and have been thrilled at the positive response we received.

“We have a presence in Singapore and China, as well as India, South Korea, Thailand, Vietnam, Indonesia, Australia and New Zealand. We intend to expand into other Asia-Pacific countries, including the Philippines, Malaysia and Pakistan.”

Presently, two of the company’s nine manufacturing sites are located in China, and it has 12 customer support centres and 20 sales offices worldwide.

Across the APAC region, CP Kelco works with large and small companies on a range of F&B application areas, including drinking yoghurts, dairy-alternative drinks and fruit-flavoured drinks.

The firm is keen to tap into several trends it has observed in APAC, such as a demand for higher-protein drinks with a pleasing mouthfeel, alternative protein drinks made from plant-based protein, low-sugar beverages (with a similar mouthfeel and viscosity as their sugary counterparts), and more clean-label products.

Viala said: “In Asia, we are seeing robust growth in drinking yoghurts and low-pH protein drinks. In China, drinking yoghurts have continued growing in popularity since the 1990s, and the growth in long shelf-life / ambient drinking yoghurts has been significant over the last 10 years.

“The next generation of ambient drinking yoghurts and other protein drinks in China will address a transition from dairy proteins to alternative plant-based proteins — a hot trend throughout developed markets.”

Sourcing and sustainability

CP Kelco believes its focus on sustainability will further endear it to manufacturers, having developed a proprietary process for peel preparation as part of its pectin production.

Using orange peel and a renewable energy source, the process is said to significantly reduce the amount of water needed to almost zero.

In addition, the company’s plant in Wulian, China uses recycled, heated water that is piped back into utilities, with the heat extracted for use in neighbouring homes.

Viala said, “Increasingly, today’s food and beverage manufacturers are faced with stabilisation, texture and suspension challenges when creating new products to meet consumers’ evolving needs and preferences.

“Our focus on ‘unlocking nature-powered success’ resonates because consumers are looking for products that are label-friendly, ‘good for you’, and sustainably sourced and produced. They want less sugar, more protein, alternative protein sources and shelf-stable convenience, (and we believe we) can meet these varying needs.”