April 28, 2006


Global Bio-Chem denies Ajinomoto's alleged lysine case



Global Bio-Chem Technology Group, one of the companies that Ajinomoto claims as having infringed two US patents for its L-lysine products, has denied receiving any "formal notification" from the latter on the suit.


Even if the company does receive it, the press release dated Apr 27 states, its next course of action will be to "seek legal advice on the alleged lawsuit and other related matters".


The Hong Kong biochemical producer--which employs 4,300 and has production facilities in China's Changchun and Dehui in Jilin province, Jinzhou in Liaoning province and Shanghai--also says it has its own in-house research and development team for its products.


"It is the group's policy to ensure non-infringement of third party's intellectual property rights and to comply with all applicable laws in its course of operations and conducting business," it said.


In the last financial year, the group exported 4,800 tonnes or US$5.44 million worth of lysine products to the US, which accounted for 0.26 and 1 percent of the group's total sales volume and turnover respectively.


Other than being the largest lysine producer in China with an annual capacity of 280,000 tonnes, Global Bio-Chem is also the largest vertically integrated corn-based biochemical product manufacturer in Asia with an annual corn processing capacity of 1.8 million tonnes.