De Monchy enters the oils trade business
The UK-based flavour company’s new trading business De Monchy Trading has been opened in London with the aim to become a leading player within the flavour and fragrance trade industry.
“There is aggressive competition but with the strong contacts De Monchy has, we feel we can compete,” said Jack Proctor, general manager of De Monchy Aromatics.
“What we can offer is a back-up service for buyers. It is this traceability assurance that we can offer that a lot of existing trading companies are unable to provide,” he told FoodNavigator.com.
Market insight will also be a key business focus for the new trading subsidiary, providing recommendations on what to buy and when is best to buy it.
He added that as an established company in the flavour and fragrance markets and capabilities covering imports, exports, sourcing, raw material processing and supply, it is well-placed to provide this insight.
“Some of the big traders offer that kind of service, but not all of them,” he added.
Taking an opportunity
London’s flavour and fragrance trade market has seen a lot of smaller players engulfed by bigger companies, Proctor said, presenting investment opportunities.
“It’s taken about 12 months to put together, but it has been in the company’s planning for some time,” he added.
This has been a “significant investment” for De Monchy Aromatics, he said.
The company noted that the new trading subsidiary will combine De Monchy Aromatics’ existing knowledge, analytical expertise, warehouse facilities and logistics infrastructure with its own network of primary suppliers at origin.
“We have very aggressive expansion plans for this business in what is a very exciting time for us and trading,” Proctor said.
Stocking up
De Monchy Trading will stock essential oils from India, China, Indonesia and South America, but Proctor added that while these markets will be a focus source for bulk items, the business will also source from elsewhere.
He noted that De Monchy Aromatics will continue to purchase from its existing traders but will buy some ingredients from the new subsidiary.
Trading operations will be overseen by managing director Philippe Caumont, who has more than 18 years of experience in the industry.
