Givaudan cuts production costs

An industry tie-up to find cheaper production methods for flavours
is already bearing fruit as Swiss flavours giant Givaudan announces
a 'key milestone' in research on gene pathways.

An industry link-up to find cheaper production methods for flavours is already bearing fruit as Swiss flavours giant Givaudan announces a 'key milestone' in research on gene pathways.

In January 2002 Givaudan Flavors​ in the US signed an agreement with San Diego-based Diversa to use the company's gene pathways to develop new products for the consumer flavour market.

In a statement this week, the two companies announced the 'successful development of a novel biocatalyst that significantly improves the efficient production of a natural flavour ingredient'.

Without entering into details, the two companies added that the new biocatalytic process - designed to replace the current existing chemical process - is currently being scaled up for pilot plant trials.

Announcing the collaboration last year, Bob Eilerman, senior vice president for research at Givaudan, said the flavour maker was always looking for new approaches to produce flavours at lower cost and with greater efficiency.

Although terms of the agreement were not disclosed, Diversa is due to receive a 'milestone payment' and, on commercialisation, will receive licence fees and royalties.

"The teamwork demonstrated by both organisations to meet this key milestone is a validation of our strategy to leverage synergies in our science and technology to commercialise innovative products for our customers,"​ said Robert Eilerman, senior vice president, science and technology at Givaudan Flavors in the US.

Givaudan is an ambitious company that has set its sights on the number one global flavour and fragrance spot. The company's agreement with Diversa is a clear sign that to achieve its aims, investment in innovation is a top priority.

Last month the company saw operating profit​ for the first half of 2003 knocked by lower gross margins and a rise in pension charges.

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