Danisco Gains EU Approval for Plasticizer, Expands ProductionIn China

Danisco Gains EU Approval for Plasticizer, Expands ProductionIn China

COPENHAGEN, DenmarkDaniscoA/S (www.danisco.com) received authorization to use and sell its vegetableoil-based plasticizer Grindsted® Soft-N-Safe in the European Union (EU). Thenew product has been included on the positive list for the Super Directive andmay be used with no quantitative restrictions in food contact materials.

One of the most positive benefits of Grindsted Soft-N-Safeis that it shows no signs of hormone-disrupting effects, said TorbenSvejgård, chief operating officer, in a statement. Therefore, we can nowoffer an alternative to the plasticizers that have caused the most concernandour product is suited for all areas of application currently in demand.We see ahuge potential in our plasticizer.

The product is based on a vegetable oil currently used infoods including margarine and chocolate and is expected to be used in toys andmedical equipment in the future. Grindsted Soft-N-Safe is slated for approval inthe United States in early 2005 and may gain approval in several other marketsincluding Japan.

In other company news, Danisco signed a joint ventureagreement with the Chinese company Henan Tangyin Yuxin Co. Ltd. to producexylitol and xylose for the Chinese and international markets. The agreementexpands Daniscos presence in China.

We wish to participate in growing markets and to seekprofitable opportunities for growth, both in terms of production and sales,said Pekka Sorsa, president of the new company. Many of our Western customersnow produce in China for the Chinese market and so it is logical that we shouldalso be there.

The new company will be called Danisco Sweeteners (Anyang) Co. Ltd. Danisco will have the majority share in the board ofdirectors.