NEWS BITES
Production news ADDITIONAL CHINESE VITAMIN AND AMINO ACID PRODUCTION PLANNED This quarter saw several Chinese vitamins and amino acids manufacturers announce plans for expansion. Shengda Bio-Pharm is investing over USD 74 million in a threeyear project which will add 220 tpa of biotin and 1,000 tpa of folic acid production capacity, alongside other products. Zhejiang Garden Bio will add 6,000 tpa of vitamin A500 powder, 20,000 tpa of vitamin E 50% powder, 5,000 tpa of vitamin B6, 200 tpa of biotin, and others over the next 24 months. Hongda Biotech plans to double its production of vitamin B3 to 10,000 tpa. Hangzhou Mojia Biotechnology co., Ltd. (Mojia Biotech) says it will be commissioning a vitamin B5 production plant by the end of June 2022. The company claims its bio-process is more sustainable and ensures a stable supply of vitamin B5 in a context of frequent production disruptions in China caused by tightening environmental regulations. A new player may be entering the methionine business; Inner Mongolia Miraculous Crop Science Co., Ltd, a subsidiary of crop protection company Liben Crop, is reportedly investing around USD 2 billion in a product which will make 200,000 tpa of methionine and 360,000 tpa of other ag chemical products.
LITHUANIAN FEED PHOSPHATES PRODUCTION OFFLINE
WAR IMPACTS RAW MATERIALS SUPPLIES FOR FEED ADDITIVE PRODUCTION The war has also had impacts on other feed additives. Beta Pura GmbH, a joint venture in Tulln, Austria, said in early June that the Russia-Ukraine conflict was currently blocking the transport of raw material to the factory, requiring production to shut down for an unforeseen amount of time. Meanwhile, it is also understood to be affecting the availability of necessary inputs for the production of sodium bicarbo nate in Europe, contributing to additional tightness in this market.
FEED ADDITIVES EXPANSIONS COMPLETED CJ Bio’s threonine capacity expansion at its Fort Dodge, Iowa plant is now complete, bringing CJ America’s total threonine capacity in Fort Dodge to 50,000 tpa. Meanwhile, Calysseo, a joint venture between Adisseo and Calysta, has announced that commissioning and start-up activities have commenced at its first industrial-scale FeedKind fermentation-derived protein facility in Chongqing, China, which will make 20,000 tpa of products for the aquaculture industry. Finally, Jingliang Longjiang Biotechnology Engineering Co., Ltd, a joint venture of Chinese corn starch processor Xingmao Group and Beijing Capital Agribusiness and Food Group, began making l-lactic acid at a facility Suihai, Heilongjiang earlier this year, for applications including animal nutrition.
FEED ADDITIVES EXPANSIONS PLANNED Sweden’s Perstorp has announced plans to double its carboxylic acid production with an additional 70,000 tpa plant. The increased capacity will help Perstorp meet growing demand in various applications, including feed preservatives. Meanwhile, Spanish monoglycerides manufacturer Sustainable Nutrition S.L., part of Adisseo’s FRAmelco Group, plans to invest over EUR 10 million in a four-year expansion of its plant.
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Lithuanian feed phosphates manufacturer Lifosa, a subsidiary of Russia’s EuroChem, has been non-operational this spring. An interim administrator was appointed by the Ministry of Finance in order to help ensure the Lithuanian plant could restart in full compliance with EU sanctions on Russian oligarchs found among EuroChem’s management, but the process has proved complex. Moreover, it is understood that supply of critical inputs such as phosphate rock, ammonia, and sulphur to the plant might be problematic in the current environment. Still, despite the uncertainty about the restart of the Lifosa plant, the European MCP market appeared to be more sanguine about the supply
situation than it had been in the immediate aftermath of Russia’s invasion of Ukraine and the resulting European sanctions.
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SUMMER 2022 | 5
