The agreement between Archer Daniels Midland Company (ADM) and Qingdao Vland Biotech Group Co. Ltd. was announced on Thursday.
The terms of the agreement mean that each company will have the ability to provide the other with access and information related to specific enzyme strains and plasmids, said to Andrew Carlson, VP, bioactives and specialty animal nutrition at ADM.
“The companies will individually conduct research to develop commercially viable enzyme products for animal feed applications,” he told FeedNavigator. “Both companies will have opportunities to commercialize any resulting products.”
The agreement is taking effect immediately, he said. However, it is a long-term commitment with expectations of scientific and commercial results in the short-, mid- and long-term range.
“Vland's expertise in the field complements our research and development and marketing capabilities,” he said. “Animal feed enzymes are an important component of ADM’s animal nutrition portfolio, and we are looking forward to leveraging this partnership to continue to expand our capabilities in our already strong array of animal nutrition products and solutions.”
Research plan and facility details
In addition to the announcing the research partnership, ADM also said that it has plans to open a new enzyme-focused research facility, to open in the first half of 2018 and located in California.
However, the partnership will also involve many of ADM’s research facilities.
Vland is anticipated to focus its research and development work at its facilities in Qingdao, ADM reported. That facility is being upgraded.
The collaborators have the world market on their radar, said Carlson. “We are taking a global approach and initially focusing on markets in which we have logistical advantages and intimately know, such as the US, Europe and Latin America,” he added
ADM’s initial focus for the upcoming enzyme work will be on production for monogastric animals, he said.
“ADM has vast experience and expertise in the area of feed and feed ingredients – both on the macro and the micro level,” he said of the focus for the work. “We are able to approach the enzymes platform with proprietary knowledge that lends itself to a novel approach, and this new agreement with Vland will help us take that to another level.”
The work is expected to build off of the company’s existing portfolio in animal nutrition, he said.
“We also have extensive capabilities and experience in researching and developing new ingredients, and efficiently scaling up and commercializing new products,” he said. “This project will help us continue to build on that foundation."