German poultry producer PHW Group is launching VTEC Ingredients GmbH, a new subsidiary focusing on ingredients for the plant-based meat sector.

The new company will be based in Engelsberg, Bavaria, headed up by biotechnologist Markus Veen. In a statement announcing the news, PHW Group said the focus is on expansion of a ‘competitive, value-added chain infrastructure analogous to and complementary to the core business segment of poultry’.

PHW Group established an Alternative Protein Sources business area in 2018 and said it has since been systematically building strong networks and expertise in the fields of biotechnology and food technology.

Marcus Keitzer, board member for Alternative Protein Sources at the PHW Group said: “In the future, we want to transfer our successful vertical integration model from the poultry sector to the alternative protein sources business field.”

Keitzer explained that VTEC Ingredients will focus on purchasing, biotechnological processing and manufacturing raw and auxiliary materials for producing plant-based sausage, meat and fish substitutes. The company will be ‘closely interlinked’ with the existing product development departments of PHW Group, he confirmed, while existing production plants for sausage, meat and fish substitute products can now be partially supplied by the new sister company.

He said: “As a result, we can now react even faster and more competently to customer requirements and implement them. With this partnership, we are showing once again that we are consistently following our corporate credo of ‘growth through diversity and foresight’ and that we are implementing the growth of our poultry and alternative protein sources business areas in a complementary manner.”

Co-partner and future managing director of VTEC Ingredients Markus Veen said: “As experienced, creative and innovative experts in the field of texturing, taste and food quality, we are very pleased about the founding of VTEC Ingredients GmbH and the close cooperation within the PHW Group.

“With this step, we are expanding our innovation process and combining a foundation of raw materials, recipes and process technologies with highly efficient food processing and optimally networked supply chains in retail.”

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