Sensient Natural Ingredients Buys Dehydrated Pepper Plant

Specialty food ingredients producer Sensient Natural Ingredients (SNI) completed a deal to purchase New Mexico Chili Products Inc., a dehydrated chili plant in Deming, NM, the company announced in a release Monday. The facility processes capsicums and specialty chilies for spice blenders, food manufacturers, and foodservice clients.

“This acquisition aligns with our long-term strategy to advance our leadership position in select growth categories, as well as to fortify our robust supply chain,” said SNI general manager Michal Finete in a statement. “This is also an opportunity to better service our customers and satisfy the food industry’s increased demand for on-trend, value-added, natural, and organic ingredients that are sustainably sourced and traceable from farm to fork.”

Based in Turlock, CA, SNI is one of the biggest processors of onion, garlic, capsicum, and other specialty vegetable products in the United States.

“This strategically located facility not only provides incremental capacity for our growing business, but also enables us to broaden our chili portfolio to offer bold flavor solutions to our customers,” said Finete.

Late last year, Olam Food Ingredients spent $108 million to purchase the US-based chile pepper business of Mizkan America Inc., which is also located in Deming, NM. The company said it decided to acquire the business because demand for Mexican flavors is rising.