JBT Corporation to acquire A&B Process Systems for €102m

JBT Liquid Foods to focus on Peruvian fruit & vegetable processing as production triples in next 5 years

By Jenny Eagle contact

- Last updated on GMT

JBT Corporation to acquire A&B Process Systems for €102m
Peru is set to triple its fruit and vegetable production within the next 5 years to 3 million tonnes, according to Jaime Cardenas, director, Trade and Investment Office, Embassy of Peru in the UK.

With this in mind JBT Liquid Foods, part of JBT Corporation, highlighted product innovations for the juice and fruit processing sector at the recent Expoalimentaria trade fair in Lima, Peru, to bring cost-effective technology to growers in Latin America. 

Important benchmark

We continue to maintain a presence each year at Expoalimentaria because we have major expectations for the development of the Peruvian market, which is an important benchmark as a growing economy for the whole region​,” said Jorge Brito, sales manager, Latin America. JBT.

We have technologies that can increase the production of processed fruit, as well as technologies for concentrated and non-concentrated fresh, natural juices​.

According to Cardenas, Peru has major advantages​ over other countries because of its strategic location including a natural Greenhouse effect in the Peruvian Coast: location in the tropics, effect of the Humboldt current and el Niño current ie no extreme temperatures, rainfall, or long harvest season.

He said the intense solar radiation (tropics) promotes photosynthesis, giving products a better flavor and color (quality) and with a Northern Hemisfere, it can cover 91.5% of the global population which gives it a seasonal opportunity window to supply most markets. 

High productivity in agricultural crops

Peru is one of the countries which has the highest average productivity in many agricultural crops. Sugarcane (2nd), Asparagus, Olives (3rd), Artichokes (4th), Grapes (6th) and Avocado (11th)​,” he said.

Approximately 130,000 ha of land currently devoted to agricultural exports are expected to more than triple as a result of large agricultural irrigation and expansion of existing projects​.

It has more than $5,000bn in exports of fresh and processed products to 150 countries​.”

JBT delivers products, including fillers, closers, pasteurization and sterilization technologies, and processing machinery for tomatoes and citrus and Expoalimentaria Peru attracts companies from across South America.

“At our booth, we featured the whole JBT portfolio for the fresh produce and food sectors, including purees, fresh fruit handling, aseptic filling, pasteurization and sterilization. These are the areas of Liquid Foods we wanted to promote during the show,” added Brito.

A&B Process Systems

In other news, JBT Corporation will acquire A&B Process Systems (A&B) for $102m. The transaction is expected to close in the fourth quarter of 2015.

The company, located in Stratford, Wisconsin, specializes in the design, manufacturing, automation and installation of liquid foods turnkey production systems. 

The acquisition will complement another addition to JBT - Stork Food & Dairy Systems. It also wants to leverage its global sales network to expand the geographic reach of A&B's portfolio, which is currently limited to the US and Canada.   

"We are very pleased to welcome A&B to the JBT team, bringing with it a rich history of serving the food processing industry for more than 40 years,” said Tom Giacomini, CEO, JBT. 

“This transaction - like the four companies we acquired over the past year-and-a-half supports our Next Level strategy of acquiring companies that strengthen our protein processing and liquid foods portfolios.” 

Related topics: Processing & Packaging

Related news