Pressetext 23 10 09 - Emsland Group

Emsland-Stärke GmbH is raising its prices with effectfrom 1 November 2009 and adapting its potatoprocessing to the current market situationFollowing a very difficult business year last year, which wasmarked by a worldwide financial crisis and, as aconsequence, severely depressed customer demand,above all in technical applications, Emsland-Stärke todaysees itself facing an unrealistic price level for simple,functional starch products."The last 12 months were marked by strict cost andexpenditure management, which means we can today tolook to the future with confidence", says Michael Schonert,managing director of Emsland-Stärke."To ensure a long-term raw material base and theconsistent implementation of our company strategy, we seeourselves compelled to raise all of our prices to a level thatcovers our costs."This measure is accompanied by an adjustment of potatoprocessing for the following processing year 2010/11."Our raw materials suppliers/shareholders share with us

part of the responsibility for the future of the potato starchindustry in Europe", says Emsland-Stärke's mangingdirector Hubert Eilting."We will agree to reduce potato processing again next year.In so doing, we want to prevent potato starch developing inthe same way as the milk industry."The Emsland Group will continue to follow marketdevelopments very closely and adjust its production moreflexibly to market demands."At the heart of this stands the development of the rightfunctional products for the future markets of our customers.We have set ourselves this task," the two managingdirectors emphasise.Emsland Group - "using nature to create" - this maximcharacterises the company philosophy behind the EmslandGroup. Harvested raw materials are processed intoinnovative, trend-setting quality products in harmony withnature. The most important raw material is the potato.Potato starch is the basis for the successes of the EmslandGroup.With a unique and creative range of products, specialistknowledge and local service, the Emsland Group has

achieved an excellent market position. The Emsland Groupis not only Germany's largest potato starch manufacturerbut also a global leader in the manufacture of modifiedstarch products, proteins and fibres, as well as potato flakesand granules.Since the beginning of the 2000s, alternative raw materials,such as peas and beans, have been taken on in ourmanufacturing process. Today we can already say that weare Europe's largest processor of peas, and of modifiedstarch, fibres and proteins, the basis of which will open upnew markets for our group in the future.