Ajinomoto Animal Nutrition Group, Inc., a wholly owned subsidiary of Ajinomoto, will begin production of feed grade tryptophan in North America.
With the launch of this product line, the Ajinomoto Group hopes to stabilise profits in the animal nutrition business by strengthening the flexibility of its production system, which can switch product lines in response to changes in market prices.
In the feed-use amino acid market in North America, demand for tryptophan has been expanding rapidly over the past five years. This is due partially to changes in the type of raw materials for natural feed, including promoting the use of corn-based dried distillers grains with solubles (DDGS), a byproduct of bioethanol.
In addition, with the success of the Ajinomoto Group's proactive activities to create demand, steady market expansion is expected to continue. According to the Group, there are no manufacturers in North America producing feed grade tryptophan, and this demand is currently being met by imports.
Starting production of feed grade tryptophan with a small investment, the Ajinomoto Group will introduce new innovations that further enhances its resource-saving fermentation technologies. These would enable production with lower amounts of fuel and raw materials, while sharing facilities with other existing product lines.
By simultaneously enhancing competitiveness with new technology and improving the flexibility of its production system, Ajinomoto intends to maximise the capital efficiency and profits of its entire animal nutrition business in North America.
Moreover, the Group will promote similar measures at each of its feed grade amino acid production bases; it aims to secure stable profits by expanding its specialty businesses and raising the competitiveness of its commodity businesses, as part of the medium-term strategy of the animal nutrition business.