BASF, Fortitech complete sale of Asian business

The latest phase of BASF and Fortitech's human nutrition joint venture has been completed with the transfer of BASF's Malaysian production facility to Fortitech's new Fortitech Asia Pacific unit.

BASF, the German group which claims to be the world's leading chemical company, has completed the transfer of its Malaysia-based Asian operations to new partner Fortitech, the world's leading producer of nutrient systems.

The two companies signed a new joint venture agreement in June 2002 covering the marketing and sales of human nutrition premix products, and Fortitech has already taken over the running of BASF's South American and European businesses as part of this arrangement. Fortitech and BASF have worked together in North America since June 2001.

The US company has now acquired BASF's premix manufacturing facility in Malaysia and formed a new international affiliate, Fortitech Asia Pacific, headquartered in Kuala Lumpur, Malaysia, which will serve the Asia Pacific region, including Australia, India, Pakistan and New Zealand.

"Demand for fortified foods and wellness products continues to grow around the world, particularly in the Asia Pacific market place," said Walter Borisenok, president of Fortitech. "Our global joint venture with BASF dramatically increases our ability to offer customers in the region enhanced access to Fortitech's nutrient premixes and high demand ingredients from BASF so customers can offer stronger, more marketable products."

He added that Fortitech had fully integrated its technical and sales support teams as well as in-house quality control programme at the premix manufacturing facility and laboratory in Malaysia.

BASF will become the primary supplier of a broad range of nutritional ingredients to Fortitech and provide Fortitech with access to its nutritional research and development efforts. The Asian manufacturing facility is set up to formulate and produce small and large volume premixes in liquid or solid form based on the customers' specifications, Borisenok said, and Fortitech Asia Pacific will continue to supply custom premixes in liquid or powder form. The plant can also comply with Kosher and Halal standards.

"This joint venture brings together the best of Fortitech and BASF and strengthens our efforts to provide innovative human nutrition products to current and prospective customers," said Andy Postlethwaite, director, life science and functional polymers, corporate strategy at BASF (Malaysia). "As a result of this initiative, BASF premix customers are assured that they will continue receiving the best in vitamin ingredients from BASF."