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World: Lipogen builds phospholipids R&D center

Lipogen is expanding its production facilities and building a new phospholipids research and development (R&D) center in response to rapid, 50% jump in sales of brain and stress health solutions in Q1-Q3 2015.

The company invested US$2.6 million in building two additional production lines for PhosphatidylSerine (PS) and Phosphatidic Acid (PA).

It also added 10,000 sq ft to its facilities to double production capabilities for PS and PA.

Upgrades include automated controlled processing to reduce production costs through improved production traceability, and implementing new safety methods, allowing Lipogen to produce its all-natural, non-genetically modified organism, solvent-free ingredients in accordance with the highest industry standards.

The PS market is forecast to grow significantly due to developments of new applications and a growing demand in emerging markets, such as India and China.

Data from Nutrition Business Journal put the US cognitive health market at US$1.2 billion by 2014, up from under US$1 billion in 2010.

It estimates the market will hit almost US$1.5 billion by 2020.

“Increasing demand for our brain health and stress management ingredients pushed us to establish a new growth strategy for our PS and PA product line,” says CEO David Rutenberg.

“The phospholipids market is expanding from traditional brain function support to new brain health concepts, including: stress management, cortisol control, ADHD [attention deficit hyperactivity disorder] mitigation and sports nutrition.”

Lipogen Builds Phospholipids R&D center 2