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At the lysine technology licensing agreement ceremony held in Guangzhou, China, on the 11th, Yoon Seok-hwan (right), CEO of CJ CheilJedang, and En Xiaolin, CEO of Xinghu Yipin, pose for a handshake.
(Photo courtesy of CJ CheilJedang) |
[Alpha Biz= Paul Lee] CJ CheilJedang announced on February 22 that it has signed a technology licensing agreement for lysine products with Xinghu Yipin, a Chinese state-owned enterprise.
Under the partnership, CJ CheilJedang will grant Xinghu Yipin exclusive licensing rights in China to use its proprietary lysine strains. The collaboration is designed to maximize synergies by combining CJ CheilJedang’s globally proven expertise in lysine fermentation and strain process optimization with Xinghu Yipin’s large-scale production capabilities and global market network.
Xinghu Yipin is a leading global bio-fermentation company producing amino acids, food additives, and fertilizers. Through the agreement, CJ CheilJedang expects to secure stable royalty income while expanding the reach of its core biotechnology assets.
At the signing ceremony, Yoon Seok-hwan, CEO of CJ CheilJedang, said, “This partnership once again confirms the global recognition of CJ CheilJedang’s lysine technology and strain competitiveness. Beyond a simple licensing deal, the agreement establishes a solid foundation for the sustainable growth of the amino acid industry through joint collaboration.”
The two companies plan to continue expanding cooperation in biotechnology and bio-fermentation technologies going forward.
CJ CheilJedang has steadily expanded its green bio portfolio, starting with lysine in 1991, followed by threonine in 2000, tryptophan in 2010, valine in 2014, and methionine in 2015. The company currently operates the world’s largest portfolio of feed-grade amino acids, comprising eight products, all manufactured using its proprietary fermentation technologies.
The global feed amino acid market is characterized by high volatility, with individual product markets ranging from hundreds of billions of won to several trillion won in size. Despite intensified competition driven by aggressive capacity expansion by Chinese producers, CJ CheilJedang has maintained its No. 1 global market share in products such as tryptophan, arginine, and isoleucine, supported by proactive investment and strong research and development capabilities.
Alphabiz Reporter Kim Jisun(stockmk2020@alphabiz.co.kr)
