Cargill buys Leonardo Olive Oil business from Dalmia

Cargill has bought Dalmia Continental’s (DCPL) Leonardo Olive Oil business for an undisclosed amount.

Produced and packaged in Italian facilities, Leonardo is a leading brand of olive oil used for cooking in India.

According to the Indian Olive Association, the olive oil market in the country experience rapid growth in the last decade, from 1,000t in 2003 to 12,000t in 2013.

In addition to consolidating Cargill’s position in the premium oils segment, the acquisition will create an opportunity for the company to participate and create value of this nascent and high-growth category in India.

Commenting on the acquisition, Cargill India chairman Siraj Chaudhry said: "This acquisition represents a natural extension of Cargill Food’s India strategy in the premium consumer space by providing a diversified portfolio of products."

Following the acquisition, DCPL chairman VN Dalmia will be associated with Cargill as an adviser for the Leonardo Olive Oil business.

Cargill Foods India Consumer Sales director Aseem Soni said: "Acquiring Leonardo underscores Cargill’s long-term commitment to growing our consumer food business in India."

"It is an excellent fit with our existing strong brand portfolio through which we serve a significant consumer base across the country.

"Leonardo’s acquisition will give us the relevant access and entry to a premium brand in edible oils, which has the potential to be horizontally integrated across other premium and related food categories."

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Image: Cargill Office Center in Wayzata, Minnesota, US. Photo: courtesy of Cargill.