Opportunities in the Foods Industry

Biotechnology

There is another opportunity that has a bright future in the food industry -- biotechnology. Probably by now, most people have heard of the use of biotechnology for creating new forms of vegetables offering unique flavor, textural and processing properties. This technology improves the foods provided by "Mother Nature" in meeting the needs and requirements of a fast-changing consumer marketplace. We also have followed in the past year, the many major medical breakthroughs resulting from biotechnology. However, there are many new areas unfolding in foods which will extend the opportunities and benefits of this evolving field.

We have addressed previously, the untapped opportunities for various food business sectors to be identified and expand the economic base in this region as we move into the next century. A unique alliance I recently became aware of in Michigan is worthy of mention. There is a great potential to add to this region's role in research and job creation with biotechnology in the food area. The alliance I refer to is the associations between Michigan State University (MSU), The Michigan Biotechnology Institute (MBI), Grand River Technologies, Inc. (GRT) and an assortment of "incubator" generated new businesses.

Both MSU and MBI operate non-profit research and idea-generating arms of the network. MBI was formed in 1981 as a result of the Governor's Task Force on High Technology with a focus on helping Michigan diversify it's economic base. MBI is the only independent, non-profit R&D organization in the U.S. with a pilot-scale bioprocessing facility. Its capabilities range from bench to full scale-up production. GRT was formed as the business arm of MBI to develop and commercialize the research outcomes. Both MSU and MBI staff work on a daily basis to seek new commercial applications of their respective research efforts. I have seen many attempts by universities to "get closer" to meeting industry needs and form working alliances. Often, these efforts are only partially successful for a variety of reasons. Many times it's the business' requirement to have a proprietary advantage through confidentiality agreements -- which non-profit academic institutions are limited in doing. The GRT role helps bridge the gap in this commercialization cycle with it's for-profit, business-focused mission. GRT then, in turn, has a number of avenues open for the next step of aiding in the formation of new small businesses, providing support and vehicles to link these businesses to real-world customers.

Natura Inc.

One of the several new companies recently formed through the MBI-GRT alliance is Natura Inc.. Natura has identified several biotechnology-based research areas, from both MBI and MSU, which appear to offer commercial opportunities. They also scan the horizon for other places where similar technologies might be licensed-in and commercialized. Natura is currently leveraging the biotechnology arena for a line of all-natural food flavors, additives and functional ingredients.

With consumers becoming increasingly interested in all natural -- as opposed to artificial -- additives for foods, this gives Natura a unique niche to develop products of interest to ingredient suppliers as well as major food manufacturers. One of several new ingredients Natura is looking at presently is a patented process for producing a salty flavor for adding to foods for general reduction of sodium without loss of flavor, or for specific low sodium foods for people on restricted diets. This natural flavor can be used in anything from salty snacks, cheese, soups, meats and many other salty-flavored foods.

Another area emerging on the horizon, and gaining interest with food companies and consumers, is the nutraceutical or pharmaco-foods area. Science is increasingly beginning to understand that some foods have unique properties to increase health and well being of consumers. One good example is the importance of high-fiber diets in cancer and heart disease. Some foods and ingredients are rich in the components which offer these benefits. Coming down the road may be a whole host of new foods and ingredients which may have a significant impact on the quality and health of our lives.

Biotechnology offers many unique opportunities to identify, develop and optimize these properties, which might not be possible through any other method, or only through less desired artificial means. Companies like Natura, Inc. and others to follow, will keep the U.S. food industry on the cutting edge of new technology and provide wholesome and good tasting foods well into the next century for consumers in a global marketplace. Michigan could be a model in the nation for opening up the mechanism of taking new biotechnology research ideas into the marketplace for creating new jobs, adding to the economic base, and creating safe and healthy foods for the entire world. The MBI-GRT-MSU alliance and the new companies that will result, like Natura, makes all this possible. Stay tuned and watch the future unfold!