Seaweed Biopolymers and Market Trends

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1 Seaweed Biopolymers and Market Trends Nordic Seaweed Conference at the Faroe Islands 28 September 2017 Trond Helgerud FMC Health and Nutrition, Norway

2 Seaweed the Next Big Industry in Norway? Value Creation from Productive Oceans 2050 (SINTEF, 2012): Prediction of the potential for value creation based on seaweed harvesting Analysis predicts a growth from 1.1 BNOK in 2010 to 40 BNOK in BNOK BNOK 2050 This represents a growth of 3500% - still on the low side? Growth in traditional fisheries is expected to be 85% in the same period; 27 BNOK in 2010 to 50 BNOK in 2050

3 FMC Health and Nutrition Core Ingredients Carrageenan MCC Alginates Natural Colors Imparts gel structure Viscosifier Binds water Suspension properties Modifies texture Ice crystal control Dairy protein reactive Suspension properties Binding/ Disintegration Imparts thickening Freeze/thaw stability Imparts heat stability Creamy mouthfeel Emulsion/ foam stability Cold soluble Cold setting gel Heat stable gelation Emulsion/ foam stability Low ph gelation Viscosifier Anti-reflux Complete hue range from yellow, orange, red and purple to green Application compatible forms Sourced from safe and healthy fruits, vegetables and herbs High-stability formulations 3

4 Applications of Alginate; Used in a Variety Products Pharmaceutical Anti-reflux; treatment against gastro-esophageal reflux. Sodium alginate is the active ingredient (API) Alginate in tablet matrix provides sustained release of active from tablet Wound healing; highly absorbing calcium alginate wound dressings Dental impressions Food Stabilization of foods; e.g. Italian type ice cream, low fat spreads Gelling; provide structure to foods like heat stable bakery creams, onion rings, pimiento, fruit fillings in cereal bars New and creative foods - molecular gastronomy, artificial fish egg, restructured fruit - even dried brown algae itself is becoming popular Specialty/Industrial Personal care, water treatment, welding electrodes Self-extinguishing cigarette paper Industrial waste water purification Restructured petfood

5 The Alginate Business Has Changed Over the Last 20 Years Worldwide annual production is currently approx 38,000MT; growing at +2%/year World s main alginate manufacturing capacity located in China Only three Western World alginate manufacturers left (FMC, DuPont, Algaia) No new players in market due to very high entrance cost 40-50% of the production is still used in textile printing paste Seaweed cost has increased significantly since 2007; due to climate induced shortage, tightening regulations, and competition with human consumption of seaweed Still significant interest in alginate for development of advanced health applications Going from traditional textile printing to 3D printing of human organs

6 Weight control - Lipase inhibition 6

7 Laminaria hyperborea Is Full of Interesting Components Component Stem [%] Leaf [%] Reference Water ,10 Ash 34.5± , 2, 10 Alginic acid 33.4± , 2 Laminaran 0.68± , 2 Mannitol 5.9± , 2 Fucoidan Other carbohydrates Traces 8 Protein 8.9± , 2 Fat 0.63±0.14 1,2 Fiber (cellulose) 10.4±0.8 1,2 Polyphenols 1 (bark) 4, 5 Iodine 0.74±0.11 1, 2 K , 9 Na , 9 Ca , 9 Mg , 9 S P Based on dry matter Source: S.J.Horn, PhD thesis (2000) 1) Haug and Jensen (1954) 2) Jensen and Haug (1956) 3) Jensen (1954) 4) Haug and Larsen (1958) 5) Ragan and Jensen (1977) 6) Larsen and Haug (1961) 7) Baardseth and Haug (1953) 8) Indergaard (1983) 9) Hanssen et al. (1987) 7

8 Healthcare Spending and Life Length Expectancy 8

9 «You are what you eat» «Der Mensch ist, was er ißt.» Ludwig Andreas Feuerbach; In an essay titled Concerning Spiritualism and Materialism, 1863/4 «Ninety per cent of the diseases known to man are caused by cheap foodstuffs. You are what you eat.» English nutritionist Victor Lindlahr; Catabolic Diet (~1920) 9

10 «You are what you eat» «Der Mensch ist, was er ißt.» Ludwig Andreas Feuerbach; In an essay titled Concerning Spiritualism and Materialism, 1863/4 «Ninety per cent of the diseases known to man are caused by cheap foodstuffs. You are what you eat.» English nutritionist Victor Lindlahr; Catabolic Diet (~1920) Is food the new medicine? 10

11 «You are what you eat» «Der Mensch ist, was er ißt.» Ludwig Andreas Feuerbach; In an essay titled Concerning Spiritualism and Materialism, 1863/4 «Ninety per cent of the diseases known to man are caused by cheap foodstuffs. You are what you eat.» English nutritionist Victor Lindlahr; Catabolic Diet (~1920) Is food the new medicine? Is seaweed the new medicine? 11

12 What Is Happening to Traditional Ingredients? An increasing number of consumers want - No E-numbers Organic Natural Clean label Animal feed regulations All the best for their pets Cosmetic regulations No plastic microbeads in cosmetics Problem or Opportunity?? 12

13 13

14 A Sea Full of Opportunities!! 14

15

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