Mitsubishi forms new joint venture with Olam

Mitsubishi has formed a joint venture (JV) with Singapore-based agri-business Olam International in order to deliver agricultural and food products to Japan.

Known as MC Agri Alliance (MCAA), the new JV will be responsible for importing and distributing coffee, cocoa, sesame, vegetable ingredients, edible nuts, spices and tomato products in the Japanese market.

Mitsubishi will hold a 70% stake in MCAA, while Olam International will own 30%.

MCAA will derive benefits from the strengths of both companies.

For sustainable agricultural and food products, the JV will use Olam International’s worldwide supply chain networks that include origination, processing, agricultural production and trading.

Mitsubishi will help MCAA with its vast distribution and sales network in Japan.

Expected to begin operations by 1 October, MCAA will help both the companies improve their network for sourced raw materials, as well as enhance their system of distributing agricultural and food products in Japan and across the world.

MCAA will exploit the sustainable supply chains of the agri-business across the world in order to provide a wide range of new and high-quality food products, thereby meeting current consumer demand in Japan.

Last year, Mitsubishi had acquired a 20% stake in Olam Industries.