Palsgaard started expansion work at its Netherlands factory, an investment worth EUR 18 million that will double the company’s global capacity to produce PGPR emulsifiers. The construction work at the plant is scheduled to be finalized in 2024.
The facility achieved CO2-neutral production (Scope 1 and 2) status in 2018. The energy-saving design of the new extension includes an additional 1,500 sqm of solar panels and complete electrification of PGPR production, along with three new reactors and a new downstream processing line.
PGPR (polyglycerol polyricinoleate) is a co-emulsifier primarily used in chocolate production to control flow, reduce viscosity and optimize molding and enrobing. It also reduces the fat content in margarine spreads and is a highly effective, plant-based color-dispersing aid that replaces petrol-based waxes in plastics.
The demand for PGPR is growing by 10% per year, Palgaard observes.
Palsgaard Netherlands Site Director Joris Dhont said: “As well as almost doubling our PGPR capacity to 11,500 MT annually, this expansion will substantially increase storage capacity for raw materials and finished goods, which will secure business continuity in times of supply chain disruptions.”
Palsgaard’s new Chief Executive Officer Helle Müller Petersen, who recently joined the company from Arla Foods, led the ground-breaking ceremony on February 7. She commented: “Visiting our facilities around the world and meeting Palsgaard employees is a priority for my first 100 days as CEO, so seeing work start on the PGRP factory extension in the Netherlands has been a great opportunity to learn more about Palsgaard’s unique DNA.”
Palsgaard is also investing in its main production site in Denmark and is currently installing a new 30,000 MT spray cooling tower. This facility will be supported by the construction of multiple new reaction, distillation, and esterification plants. The EUR 125 million investment will double its production capacity by 2024.