Our goal is to build a business portfolio in which value-added operations account for 35% of EBIT. We’re pursuing that target by extending our existing value chains into new downstream markets, increasing our focus on innovation and adding, through bolt-on acquisitions, capabilities and products that address evolving consumer preferences for “easy” and “real” foods that emphasize convenience, natural origins and health qualities. The acquisitions of Whole Harvest Foods and Heartland Harvest in the U.S. brought expeller pressing capabilities, new refining technology and a broader milled ingredient portfolio.
Investment in existing brands and value chains have generated growth in two very different markets: India—the world’s fastest growing edible oil market—and Argentina, which has long been a vital part of our Agribusiness operations for over a 125 years.
Bunge’s India products reach across B2B and B2C segments and include a portfolio of trusted brands, including Masterline, Amrit, Dalda, Gagan and Chambal. Masterline and Amrit serve commercial customers, including bakery and confectionary, with a variety of customized and specialty fats. Dalda is an iconic national brand that was named most trusted in 2013. Gagan and Chambal are leading regional brands. All of Bunge India’s principal brands generated double digit volume growth, with enhanced profitability, between 2013 and 2015.
In Argentina, we have successfully built an F&I franchise, with packaged and bottled oils, oilseed derived ingredients, wheat and rice products. Investments and partnerships in refining, bottling and ingredient production, as well as upstream asset optimization have driven material value creation. EBIT in Argentine F&I has grown by over four times in the past five years. Similar to other markets, the business serves a blend of B2B and B2C customers, but uniquely, exports a majority of its volume to other South American markets and to Africa.