Denmark’s Novozymes see multiple opportunities – Novozymes, a biological solutions provider based in Denmark, is planning more investment in the Chinese market in 2018 to help the nation to move toward its goals for safer and healthier food, as listed in the “Healthy China 2030” blueprint released in October 2016 – Denmark Novozymes industrial enzymes - Arhive

Andrew Fordyce Photo: Courtesy of Novozymes

Novozymes, a biological solutions provider based in Denmark, is planning more investment in the Chinese market in 2018 to help the nation to move toward its goals for safer and healthier food, as listed in the “Healthy China 2030” blueprint released in October 2016.

The company, whose sales in the Asia-Pacific region increased 5 percent organically in 2017, focuses on the research, development and production of industrial enzymes and microorganisms. Its best-selling product in the Chinese food market is amylase, which catalyzes the conversion from starch to sugar.

In 2017, China’s Supreme People’s Court upheld a Novozymes patent on enzymes against two Chinese competitors in a landmark intellectual property rights (IPR) case, ending a patent dispute that began in 2011. The case was listed as one of the top 10 IPR cases in China in 2016.

Global Times reporter Chu Daye (GT) talked to Andrew Fordyce (Fordyce), executive vice president at the food and beverages division of Novozymes, to learn how industrial enzymes can improve food processing efficiency in the world’s most populous country, as well as conserve food and make it healthier. Fordyce explained what he believes needs to be done by the Chinese government to further the development of the industry.

GT: How is the use of industrial enzymes related to Chinese shoppers’ food consumption upgrading?

Fordyce: Consumers around the world are becoming more aware about how food is produced and the ingredients that go into food. One trend, the clean label movement, requires a clear label, from raw materials to ingredients, marked on the food. It is an important trend in China. We welcome the trend, because the products we produce are used to make food better tasting and longer-lasting. At the same time, all our products are derived from natural sources [as opposed to artificial ingredients] and that is helpful in making healthy products with a clean label.

GT: How can industrial enzymes help save food in China, which is an issue of paramount importance here?

Fordyce: As the demand for food grows, people need to get more and more out of commodities such as corn, and enzymes can help do that. Two kinds of enzymes introduced by Novozymes into China in bread baking have been known to have reduced potential waste by making bread stay fresh longer. It is estimated that this has helped saved 5 percent of the bread produced.

We are also working on technologies that could help corn processors to get 2 percent to 3 percent higher yields from starch and about 1 percent higher yields on protein. In China, processors mill about 40 million tons of corn every year. We would see substantial savings if these technologies are used here.

GT: What is the company’s stance on the Supreme People’s Court’s ruling on the patent dispute case in 2011?

Fordyce: We were really grateful that the Supreme People’s Court took this case after it went through different lower-level courts. After a professional legal due process of law, we were very pleased that the decision came on our side to protect our technology against someone trying to copy it. This gives us even more confidence that we can invest more in the Chinese market with more of our applications and our own research. It shows that China is becoming more and more serious in protecting innovation, which is good for everyone.

GT: What is the development stage of China’s industrial enzymes industry?

Fordyce: China is a very important market for us with more than 1.3 billion people with increasing wealth and rising consumer interest in the quality and safety of food. The nation’s industrial enzymes industry is somewhere between mature and emerging. We plan to continue to make substantial investment, adding capacity and enhancing customer engagement via more hiring of sales and technical staff.

We will also make specific innovations for the Chinese market, including sectors such as detergents, food, corn processing and water treatment. China is a competitive market with lots of players working hard to satisfy consumer needs. We see it evolving when it comes to regulatory structure for the industry. This is an important area where more advances can be made to get more guidance, openness and engagement from the Chinese government.