Page 17

AAK Annual Report 2016

Bakery Bakery, our largest segment within Food Ingredients, had another challenging year and ended up on a slightly lower level than in 2015, with the exception of Central and Eastern Europe. However, the innovation pipeline looks solid and we expect to launch new value-adding solutions during 2017 to further strengthen our customer offer in this segment. In December 2016, AAK Colombia launched new, high- quality margarines for pastries and cakes and is expected to take a leading position in the market for value-adding solutions. Brazil with its new factory is gaining ground within bakery and the outlook for 2017 is rather positive, taking into account the tough economic environment in the country. The shift towards value-adding solutions is very clear in WKH86ZKHUHVRPHQHZYDOXHDGGLQJEXVLQHVVZLWKÀDNHG solutions was gained. The bakery industry in China showed good volume growth during 2016 and we expect a good start for our newly inaugurated speciality and semi-speciality edible oils factory outside of Shanghai. Dairy 2016 was a strong year for our dairy business with double- digit volume growth. North Latin America, the US and the Nordics showed particularly strong growth in this segment. The new growth markets Brazil and China very importantly showed great development. Although coming from a small base this is a very positive indication for the return of our investments in the two countries and it will strengthen our global position within the dairy business. One important focus area within our Dairy segment has been to broaden the business by developing a range of unique value-adding solutions for the plant-based dairy market. Through our co-development approach we are strongly positioned to grow further within this sub-segment which is expected to exhibit double-digit growth every year for the upcoming three years. Special Nutrition Infant Nutrition, which is the largest sub-segment within Special Nutrition, has continued to show strong global growth during 2016. In general, the global infant nutrition market continues to grow with good momentum, mainly driven by the Chinese market. However, our product range Akonino®, with its tailor-made solutions, is still outgrowing the market and gaining market shares through good developments in Europe, North America and Asia. InFat ®, a structured lipid component for infant formulas which is sold through $GYDQFHG/LSLGV$%DMRLQWYHQWXUHRI$$.DQG(Q\PRWHF continued to grow as well. With our new focus areas Medical and Senior Nutrition, we will broaden our market coverage for specialized oils and fats going forward. These two sub-segments show growth all over the world. Our proven track record of being a reliable supplier, combined with our customer co-development approach, will enable us to grow further in the strong and competitive segment of Special Nutrition. Foodservice )RRGVHUYLFHKDGDQRWKHUVWURQJ\HDUJURZLQJVLJQL¿FDQWO\ faster than the market – a market that is rapidly evolving as consumers’ propensity to eat out is on the increase and as their behaviours are changing. AAK recognizes the regional variations in the taste and functionalities that our customers seek. Therefore, we strive WRDGDSWRXUVROXWLRQVWRFUHDWHWKHJUHDWHVWSRVVLEOHEHQH¿W for our customers’ businesses and for the end-users’ food HSHULHQFHV7KHW\SLFDOIXQFWLRQDOLWLHVZHRIIHULQÀXHQFHWKH WDVWHDSSHDUDQFHDQGWHWXUHRIWKH¿QDOSURGXFW Within Foodservice AAK has a very strong market focus DQGZHGHOLYHULQQRYDWLYHVROXWLRQVWKDWUHÀHFWWKHQHZHVW market trends. In 2017 we will renew and expand our Customer Innovation Centers for Foodservice, where we work with customers and suppliers to develop new recipes ZLWKJUHDWÀDYRXUVDQGWHWXUHV 13


AAK Annual Report 2016
To see the actual publication please follow the link above