United Biscuits crafts cocoa supply pact with Cargill

28-Nov-2014 - Last updated on 28-Nov-2014 at 12:04 GMT

The deal means UB can have a much more secure supply of cocoa beans and chocolate

United Biscuits (UB) has clinched a three-year partnership with international food conglomerate Cargill ensuring dedicated cocoa and chocolate supplies for products such as Jaffa Cakes and McVitie’s Chocolate Digestives.

The deal means Cargill’s cocoa and chocolate business will supply all UB’s derived cocoa and chocolate products. It has also agreed to support UB with the delivery to its seven UK manufacturing facilities and its four plants elsewhere in northern Europe.

Cargill’s reach across the whole supply chain and its strategically located production facilities meant it could guarantee security of supply of high quality products in time, said UB in a statement.

Contingency supplies

In addition, Cargill would function as dedicated partner if contingency supplies were needed for UB’s chocolate refinery, it said.

“We’re delighted to be partnering with one of the world’s leading sustainable food ingredients providers,” said Nina Williams, ‎UB group technical director. “Many of our recipes use sustainable chocolate, making a contract of this size vitally important for us.

“Today’s announcement is also strategically significant. As the first partnership of its kind for UB, it will bring a step-change in our growth and competitiveness and deliver significant long-term value.

“Cargill’s strong sustainability credentials and ambition match the philosophy of our business, and will be a great fit as we continue to grow our presence in the UK and internationally.”

‘Growth ambitions’

Emiel van Dijk, sales and marketing director at Cargill Cocoa & Chocolate, added: “Our partnership with UB … allows us to share our deep cocoa and chocolate expertise and our broad food ingredients knowledge to support UB’s innovation and growth ambitions.

“We are convinced this long-term, transparent relationship means we will be able create the right solutions for UB even faster and easier.”

The move reflected its commitment to innovation in the sweet category, UB said. It aimed to unite its scientific and technological expertise and industry knowledge with Cargill’s resources to use chocolate more effectively and fuel innovation and growth, it added.

Yildiz Holdings, parent company of Turkish food group Ulker Biskuvi Sanayi, bought UB for a reported £2bn earlier this month.