Bunge Expansion Targets Biofuel

NEW YORK - Nov 7/05 - SNS -- Bunge Europe will adapt its plant in Mannheim, Germany to be able to crush both soybeans and rapeseed, and increase overall capacity to around 1.3 million metric tons (MT).

New rapeseed crushing capacity is expected to come online in the second quarter of 2006. The project will enhance Bunge's ability to supply the growing German market for rapeseed oil, a primary component of biodiesel.

"The growth in demand for biodiesel is changing the landscape of the German vegetable oil market," stated Jean-Louis Gourbin, CEO, Bunge Europe. "We have decided to install additional capacity in Mannheim to supply this expanding market and to better serve our food customers."

By creating a soy/rape line and adding new capacity, Bunge expects to improve the flexibility and efficiency of the Mannheim plant, enhance the company's position as a leading supplier of oil and meal to customers in southern Germany and further strengthen its ties to the local farming community, from which it intends to purchase additional rapeseeds.