The investment and planned collaboration are set to enhance technology-oriented industry - a key economic driver to support the Thailand 4.0 policy
Mitr Phol Group announced a strategic investment and partnership with Dynamic Food Ingredients (DFI), a world leading company in in electrochemistry research and development, to scale up the production of Erythritol and Xylitol, two of the most widely used sugar alcohols in the global natural sweetener market. The initial investment will be focused on immediately scaling up production along with further collaborative technology development at Thailand Food Innopolis. The partnership is a part of Mitr Phol’s focus on technology-oriented agricultural innovation, and embracing the government’s Thailand 4.0 policy.
Mr. Krisda Monthienvichienchai, CEO and President of Mitr Phol Group, said that “we recognize the crucial role of innovation and technology which have been key pillars of our value added business approach for more than 20 years. The investment USD 55 million and partnership with DFI is another major step in reinforcing the adoption of innovation research and development as key economic driver, which is also in line with the government’s Thailand 4.0 policy. With DFI’s broad-based world-class technology and innovation in producing bio-based sweetening products, we are looking forward to furthering fruition from the know-how gained from this joint development by building natural sweetener production plants in Thailand Food Innopolis in the near future. The research will focus on producing natural and bio-based sweetener products like Erythritol and Xylitol using food crops grown in Thailand, and further make these products more viable as sweetener of choice for both local food industry as well as health-conscious consumers.
Consumers today are demanding natural products as well as low calorie natural sweetener in light of the rising rates of diabetes and dental issues across the world. There is a well-established body of science demonstrating that Erythritol and Xylitol are natural sweeteners of choice that have the taste consumers are looking for without aftertaste and other health concerns artificial sweeteners present today. Many large food and beverage producers have already launched hundreds of new products globally using these two sweeteners. The Mitr Phol - DFI partnership will be reaching out to consumers, food & beverage producers and others looking to expand the use of these products as well as new products in others areas.
According to Mr. Paul Magnotto, Founder and CEO of Dynamic Food Ingredients (DFI), “We are very excited about this partnership and Mitr Phol’s investment. It will allow us to significantly expand our innovative, patented, electrochemistry platform to transform common sugars into natural low calorie products found in nature, without compromising taste. Our ingredients contain no artificial sweeteners, colors, flavors, fillers, or preservatives. It will allow us to bring scientifically-validated, ‘better for you’ natural sweeteners to consumers around the world who are looking for ways to eat healthier capitalizing on the global trend away from artificial sweeteners to natural sweeteners.”
Erythritol and Xylitol are increasingly being used as low calorie sweeteners in food and beverages as well as being sold as a table top product in natural food stores. The Mitr Phol – DFI partnership will bring to market a range of products that meet growing consumer demands for good taste while offering health benefits for those that desire, or medically require them. DFI’s patented technologies break new ground to offer environmentally sustainable economic efficiencies in making products that already have wide consumer acceptance. In addition, this partnership will be developing ingredients that can reduce antibiotic use in animal feed, as well as renewable chemicals.
In 2015, the global Erythritol consumption accounted for 65,000 tons, with a forecast growth of 7-8% annually; while Xylitol 250,000 tons, with a forecast growth of 8-9% annually.
