Officials from POSCO International Corp. (L) and Daesang Corp. pose for a photo after a signing ceremony held in Seoul on Feb. 23, 2023 in this photo provided by POSCO International.
SEOUL, Feb. 24 (Korea Bizwire) — POSCO International Corp., a major South Korean commodities trader, has joined hands with food company Daesang Corp. to scale up their starch sweetener business, the two companies said Friday.
They signed a memorandum of understanding (MOU) the previous day to cooperate in investing in new businesses and the supply of raw materials used to produce starch sweeteners.
Starch sweeteners are a natural material extracted from crops, such as corn, potatoes, tapioca and wheat. They can be modified into food sweeteners used in processed foods and baked goods, or adhesives used in industrial products like cosmetics.
Under the agreement, the two companies said they plan to strengthen their business partnership, while closely working together to ensure the stable supply of raw materials used to produce starch sweeteners, with the goal of cementing their foothold in the Southeast Asian market.
POSCO International has been Daesang’s key supplier of corn, a major ingredient in starch sweeteners. The company supplied over 360,000 tons of corn to Daesang last year, it said.
Daesang has been selling its starch sweetener products in Vietnam, the Philippines and Indonesia, among other countries, since 2007.
“We hope the partnership can help Daesang expand the base of our global ingredients business,” a Daesang official said.
(Yonhap)
