Supplier

Keychain’s AI-driven B2B digital tool aims to bring transparency and simplicity to the CPG landscape by streamlining matchmaking between brands and retailers searching for compatible manufacturing partners.

An innovative, novel ingredient — such as a fermented protein found inside volcanic rock — can be difficult to explain. As a result, ingredient suppliers often find themselves creating or evolving into CPG brands to showcase their unique ingredients before outside brands are willing to commit. It’s a move that can help drive ingredient sales, but also requires new capital, skills, labor and time to execute.

As CPG e-commerce grows, and new brands need to quickly scale, siloed, manual supply chains create a huge issue — one that software hub Anvyl is looking to simplify for brands and suppliers.

The New York-based flavor and fragrance giant announced on Monday its plans to acquire Israeli flavors and natural ingredients firm Frutarom for $7.1 billion — its biggest purchase to date. The deal would boost IFF to a second-place spot in the global natural flavors market, seeing as 75 percent of Frutarom’s sales are in natural.

The Denver-based flour supplier announced earlier this month the launch of its new business unit, The Annex, which is a 15-person team dedicated to providing food companies and foodservice operators with “next” grains and plant-based ingredients. The goal for the “company within a company” is to establish itself as a thought leader and problem-solver in the grain market.

Some of CPG’s most prominent ingredient and flavor suppliers have created purchasing and consulting options for startup companies. Why? It’s not for a lack of business with large brands.

The acquisition will bring Innophos deeper into the branded, functional ingredient space, and help the company launch a new health and nutrition platform of ingredients for brands.