Silver Fern Farms has formed a blood protein joint partnership with a United States-based biotechnology company.
The partnership to make bovine blood plasma products is with Proliant Inc, which produces bovine serum albumin (BSA) used in the production of diagnostic/medical kit manufacturing, biopharmaceuticals, veterinary medicines, vaccines and antibodies, nutraceuticals and life-science research.
New facilities to automate much of the closed-circuit capture of blood will be established at Silver Fern Farms' meat processing plants in the North and South Islands.
Initial installations of the automated collection systems were planned for the Te Aroha and Finegand plants.
The agreement fitted with the company's strategy of creating value from co-products and with the company's sustainability ethos, Silver Fern Farms chief executive Keith Cooper said.
''Proliant is an ideal partner, offering high technology, processing and global marketing expertise.
''A partnership of this nature, with the potential for additional multimillion-dollar revenue to our co-operative over the tenure of the agreement will ensure that together we make the most of market opportunities and grow value from our products over the medium term,'' he said.
New Zealand produced about 1500 tonnes of blood plasma per annum, of which 99% was exported for use in the manufacture of medical pharmaceuticals and nutritional products. The investment also aligned with the Ministry of Business Innovation and Employment's business growth agenda themes of encouraging innovation with clear links to export markets, Mr Cooper said.
''This is a significant shift for our industry as annual production of blood plasma is predicted to grow six-fold over the next five years as a result of this agreement. We are also now dealing directly with the manufacturer through this partnership,'' he said.
Proliant chief executive Steve Welch said the partnership would be the start of a long-term relationship between the two companies.
''New Zealand is a safe place to source bovine proteins as it has a negligible risk of BSE as well as other animal diseases of significance. It makes this country attractive for these kinds of long-term investments,'' he said.
