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What's New in Fermentation and Biotechnology

September Issue

This is the first newsletter in a monthly series where L. Hepner & Associates will comment about current problems in the world of fermentation and biotechnology with emphasis on: antibiotics, enzymes, amino acids, proteins, probiotics, vitamins, nutraceuticals, as well as fermentation and biotechnology capacity.

Antibiotics:
Since the beginning of 2001 the European Union has banned the use of 4 animal health antibiotic growth promoters for in-feed usage: zinc bacitracin, spiramycin, tylosin and virginiamycin. Within the next 18 months it is foreseen that 4 other in-feed antibiotics will be restricted or banned: flavomycin, monensin, salinomycin and lasalocid.

What is likely to replace these growth promoters and coccidiostats?
Judging by Sweden -where these antibiotics have been banned since 1986, it may result in more sanitary livestock management as well as increasing usage of amino acids, enzymes and probiotics.
Since early 2001 lysine and methionine consumption in European feeds has risen [also reflected in higher prices].
[see 1]

Fermentation and Biotechnology capacity:
There is excess fermentation plant capacity in Europe in the antibiotics area due to:

  • withdrawal of animal health antibiotics
  • reduced output of penicillins and cephalosporins
Can these plants be adapted for alternative products?
There is considerable demand for biotechnology capacity especially mammalian cell culture both for the commercial production of proteins [interferons, insulin etc.] as well as development products undergoing clinical trials in phases 2-4.
[see 2]

Enzymes:
A range of food [especially baking] enzymes are produced from recombinant GMO strains.
Does this bother food manufacturers or is it likely that a recombinant enzyme is considered distinct in relation to the producing strain?
[see 3]

Food [Functional] Proteins:
The last months have seen a shortage of milk-based proteins [casein and whey protein concentrate] partly due to BSE and foot-and-mouth disease in European cattle. The European Union has also reduced the support for skim milk and this has resulted in considerable price increases. Casein is currently priced at DM14-15 [$7-7.5]/kg. This is likely to increase the demand for soya proteins especially soya concentrates for which there is already severe capacity shortage.
[see 4]

Vitamins:
Is there a real shortage of biotin and if not why have prices gone through the roof? The vitamin industry is anxious to bring new biotin capacity on-stream. But when?

What is the status of the fermentation route to vitamin C?
Several producers are involved in the fermentation of sorbitol to 2-ketogulonic acid which still needs a final chemical stage to vitamin C. When will we see a total fermentation route?
[see 5]

The following recently-published surveys of L. Hepner & Associates surveys discuss the points reviewed in the Newsletter:

  1. The Antibiotics Industry - Current Status and Outlook
  2. Established vs. Recombinant Fermentation Industry - Production Costs and Capacity Requirements by 2005
  3. Enzyme-Using Industries Towards 2005 - Target Markets for Established & Novel Enzymes
  4. Functional and Modified Proteins - Markets and Applications Towards 2005
  5. Vitamins - Production, Producers, Processes, Markets and Outlook by 2005

L. Hepner & Associates Ltd
Address: 48, Portland Place, London W1B 1NG, United Kingdom
Phone: [44] 20 7631 3194
Mobile: [44] 7968 157679
Email: lhepner@probio.com


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