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Breaking NewsIngredientsSustainable Food ProductionGums & Starches

Jungbunzlauer Announces $200m Investment in Canadian Biogum Facility

Major investment strengthens company’s North American operations, fosters job creation, and advances sustainability goals

By Prepared Foods Editorial Staff
Jungbunzlauer_900
IMAGE COURTESY OF: Jungbunzlauer

IMAGE COURTESY OF: Jungbunzlauer

September 24, 2024

Jungbunzlauer, a producer of high-quality, sustainable ingredients from natural sources, is breaking ground on Canada’s first xanthan gum facility – a $200-million addition to the company’s existing footprint in Port Colborne, Ontario.

Jungbunzlauer announced the groundbreaking for the first stage of this multi-year project, which is supported by $4.8 million from the Invest Ontario Fund.

“This expansion in Port Colborne marks a significant milestone for our North American business. This site not only reinforces our commitment to providing our partners with top-quality, natural biogums but also highlights our dedication to sustainability and to the local community,” said Bruno Tremblay, Jungbunzlauer CEO.

Tremblay was joined at the groundbreaking ceremony by site lead Ryan Doell and dignitaries from local, provincial and national governments, including Ontario Premier Doug Ford; Ontario Minister of Economic Development, Job Creation and Trade, Vic Fedeli; Niagara South MP Vance Badawey; Niagara West MPP, the Hon. Sam Oosterhoff and Mayor William Steele.

“We've been a proud part of the Port Colborne community for more than 20 years. In that time, we’ve invested $560 million into our local facility to expand capacity and improve sustainability. As we look ahead to the next ten years, we expect to continue to make significant investments in capacity, sustainability and the community. On top of our capital investment, the jobs, services and local purchases from our facility add approximately $20 million to Port Colborne’s economy every year,” Tremblay said.

The Phase 1 expansion is expected to be operational from Spring 2026 and produce readily biodegradable xanthan gum, a thickening agent with a wide range of culinary, cosmetic and pharmaceutical uses. The Port Colborne expansion will increase Jungbunzlauer’s capacity to provide high quality xanthan gum to customers throughout North America.

This expansion underscores Jungbunzlauer's commitment to expanding its presence in North America and its commitment to carbon neutrality and sustainability.

“Jungbunzlauer’s expansion shows very clearly that international companies looking for a strategic foothold in North America will find Ontario is the best place to invest,” said Michael Fedchyshyn, Interim CEO for Invest Ontario. 

KEYWORDS: food supplier xanthan gum

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