Food sector bright spot for AGT
From the Western Producer
AGT Food and Ingredients posted record sales and profits last year, thanks in a large part to the non-traditional part of its business. The company generated adjusted earnings before interest, taxes, depreciation and amortization (EBITDA) of $101 million on sales of $1.7 billion. The 16 percent increase in EBITDA was due largely to the strong performance of the company’s food ingredients and packaged foods division.
AGT president Murad Al-Katib told investment analysts that the company will be adding production capacity to its food ingredients plant in Minot, North Dakota. It is increasing fibre processing and granulated pulse flour production at the plant and installing a fourth production line. Both projects will be operational by the first quarter of next year.
An estimated 80 percent of the pulse flour, protein, starch and fibre products produced at the Minot plant are used to make pet food. Most of them are made by processing yellow peas, which are the cheapest of all pulses.
Al-Katib said the company is about to make the transition into fababean and lentil-based ingredients for the human food sector.