Tate and Lyle set to double sucralose production

By Catherine Boal

- Last updated on GMT

Related tags Splenda Sucralose

Global ingredients manufacturer, Tate and Lyle, has announced that
expansion at its new artificial sweetener facilities is on target -
heralding an imminent boost in supplies to manufacturers.

Planned expansions at the Splenda factory in the US, which produces the sweetener sucralose, were completed on time and the plant is now operating at full capacity. A new site in Singapore is expected to open in January 2007.

Given the new operating capacity of the plants, company production of its Splenda range, which is used in a wide range of bakery products and confectionery, could dramatically increase.

Chairman, Sir David Lees said: "The increased production capacity from these investments will enable us to build further the customer base and Splenda Sucralose brand. We have specifically designed the Singapore plant with the potential for its capacity to be doubled, if required."

In addition, the company will invest £250m ($463m, € 365.7m) in new projects in the US this year in a bid to expand production in the US market.

According to the confectioners, trading for the first quarter of the financial year has been profitable, with figures 'well ahead' of those seen in 2005.

In May, Tate and Lyle reported a 16 per cent rise in underlying profit to £295m ($546m, €431.4m) - in part due to strong demand for its sucralose product.

By March next year, the company aim to see a 30 per cent rise from this year's £161m ($298m, €235.5m) in profit contribution from total value added products.

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