Commitment to success: DSM and Novozymes confirm alliance

DSM Nutritional Products and Novozymes restate their commitment to the feed market by renewing their strategic alliance agreement. With the renewal of the agreement, the two companies commit to further strengthening and developing their partnership. The alliance has been highly successful since its beginning in 2001 and the two world leading partners look to launch a number of innovative, market-expanding and promising products over the coming years. The DSM/Novozymes alliance is the Global market leader in feed enzymes. “We are very pleased to reaffirm our commitment to the feed enzymes alliance with Novozymes. Over the years, the alliance has been a driving force in innovation and expansion of the global markets for animal feed enzymes. We aim for better animal performance with less feed/better raw material utilization, while at the same time reducing environmental phosphates load and contributing to our customers’ profitability by lowering the feed formulation costs and we aim to continue this way”, says Leendert Staal, President of DSM Nutritional Products. “The alliance of DSM and Novozymes combines world leading competencies and technologies of the two companies to deliver feed enzyme innovation to the customers. We have some very interesting products in our pipeline which have real potential to enable our customers to compensate for the fast rising grain costs. Within the next two years, we expect to launch a new enzyme for corn-soy diets and we have other products lined up for launch over the coming years”, says Novozymes’ Executive Vice President Peder Holk Nielsen, who heads up the company’s Enzymes Business. The DSM/Novozymes alliance is an exclusive and global agreement. Under the terms of the agreement, Novozymes develops and produces enzymes for animal feed whereas DSM markets and sells the enzymes. The renewed alliance agreement covers the principles of the alliance such as governance structure, supply and distribution of products, intellectual property rights, profit sharing etc. The agreement runs for the next five years. Leadership through innovation By adding enzymes to feed, the nutritive value of the diet is improved. The main benefits are faster growth of the animal; better feed utilization; more uniform production; better health status and an improved environment. Enzymes have traditionally been used in diets of poultry and pigs, however the DSM/Novozymes alliance is currently investigating the benefits of adding enzymes to feed for other types of animals, such as cattle and fish. Similarly, where feed based on wheat or corn has traditionally been the target for enzymatic improvements, the alliance is now looking at other types of feed and expects to launch an enzyme to improve utilization of corn-soy diets within the next two years.