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Lantmännen’s Ambitious €100 Million Investment to Revolutionize Sweden’s Plant Protein Market

by Tatiana Ivanova
23 October 2024
in Company, News, Processed
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Lantmännen’s Ambitious €100 Million Investment to Revolutionize Sweden’s Plant Protein Market
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Sweden’s agricultural landscape is on the brink of transformation, thanks to Lantmännen’s ambitious plans to invest approximately €100 million in a state-of-the-art plant protein processing facility in Lidköping. As the largest facility of its kind in Sweden, this factory is poised to significantly enhance the production of plant-based protein, addressing the increasing consumer demand for vegetarian, vegan, and gluten-free products.

The new plant will process an estimated 35,000 tons of peas and 5,000 tons of field beans annually, resulting in the production of around 7,000 tons of concentrated protein. This concentrated protein is vital for a variety of applications, including meat alternatives, sports drinks, gluten-free pasta, and baked goods. This development aligns with Lantmännen’s broader strategy to strengthen Swedish agriculture and reduce reliance on imported soy by promoting locally sourced protein alternatives.

In recent years, the global demand for plant-based protein has surged, driven by a growing awareness of health, environmental sustainability, and ethical considerations regarding animal farming. According to a report from Grand View Research, the global plant-based protein market is expected to reach USD 32.6 billion by 2027, growing at a compound annual growth rate (CAGR) of 8.4% . This trend highlights the necessity for local producers like Lantmännen to invest in sustainable practices and expand their production capabilities.

The investment in Lidköping is expected to increase Swedish pea cultivation by 50%, with annual production rising from 80,000 to 120,000 tons. This surge is particularly significant as peas and field beans are recognized as climate-friendly crops due to their low water requirements and nitrogen-fixing abilities, which enhance soil fertility. The environmental benefits of cultivating these legumes align with Lantmännen’s commitment to sustainability and food production that reduces the carbon footprint.

Lantmännen is one of Scandinavia’s largest agricultural cooperatives, owned by 18,000 Swedish farmers. With a workforce of 12,000 employees and operations in over 20 countries, Lantmännen reported an impressive revenue of approximately €7 billion last year. This cooperative is not only involved in agricultural production but also plays a significant role in machinery, bioenergy, and food products. Some of its well-known brands include AXA, Kungsörnen, and GoGreen, which emphasize the company’s diverse reach within the food industry .

The new plant protein processing facility will bolster the local economy, create jobs, and foster innovation in food production. Additionally, Lantmännen’s strategy to collaborate with local farmers for sustainable crop cultivation can serve as a model for other agricultural sectors aiming for similar sustainability goals.

Lantmännen’s investment in the largest plant protein processing facility in Sweden is a landmark development that addresses the growing demand for sustainable, plant-based protein sources. By enhancing local pea and field bean production, this initiative not only strengthens Sweden’s agricultural sector but also contributes to a more sustainable food system. As consumer preferences continue to shift towards plant-based diets, Lantmännen is positioning itself at the forefront of this vital market transformation.

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Tags: agricultural cooperativesfield beansfood processinginvestmentLantmännenpea productionplant proteinsustainable agricultureSwedenvegan products

Tatiana Ivanova

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