Global agribusiness corporation Cargill and Austrian phytogenic feed additive firm Delacon signed a strategic partnership agreement on 6 July to advance the market for natural, plant-based feed additives.

The partnership would connect Cargill’s expertise in applied nutrition and global presence with Delacon’s knowledge and market experience in phytogenic additives, Cargill said in a statement.

Phytogenic additives used natural ingredients, including herbs, spices, other plants and their extracts, such as essential oils, to improve animal health and production.

“Phytogenics are one of the most promising groups of feed additives and are turning from a niche market into a mainstream need,” said Delacon CEO Markus Dedl.

“We’re entering a new era of phytogenic feed additives and the next five years are decisive for the developments in this growing market.”

The agreement would also allow both companies to expand their technical and go-to-market capabilities as they aimed at growing the phytogenic feed additives sector, said Cargill.

Delacon would benefit from Cargill’s wide-reaching market presence, while Cargill would be able to expand its presence and capability in the additives market, with a focus on areas outside the USA.

Cargill and Delacon had collaborated at various points over the years, and Cargill Premix and Nutrition president Chuck Warta said that centralising these efforts in a strategic partnership would help the companies expand their presence.

“Cargill and Delacon share common values – a commitment to our customers, science-driven innovation and high product quality,” Warta summarised.