Abstract for Omega-3 Fish Oil

Ensymm abstract for Use and Production of Omega-3 Fish Oil

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FISH OIL

INVERT SUGAR ABSTRACTThe food and drink industry depends heavily on enzymes. Enzymes produced by yeast have been used for thousands of years in brewing and baking. Invert sugar (IS) contains fructose and glucose in roughly equal proportions. The Invert sugar is greater in demand than pure glucose as food and drink sweeteners, because fructose is sweeter than glucose.Main consumers of Invert Sugar are the baking, beverages, canning, confectionery and dairy industries. In addition, high fructose syrup is used in

Fish oil is by far the biggest sourcefor omega-3, estimated by Frost &Sullivan to account for about 85 %of the market by volume. Almost allthe fish oil produced in the worldcomes from South America andMorocco, and only a tinypercentage of global crude fish oilproduction is actually distributed tothe market for human consumption,with the rest being used for fish andanimal feed.According to the GlobalOrganization for EPA and DHA(GOED), an omega-3 tradeassociation, around 6-10 % of thetotal 1Mio. tons crude fish oilproduced per year is refined toproduce omega-3 for humanconsumption. The figure from theInternational Fishmeal and Fish oil

Organisation (IFFO) is even smaller,placing human consumption at lessthan 3 %. Out of this, only 0.6 % isthought to relate to the Europeanmarket.Most of the refining takes place infacilities in Norway and Canada,with some also sent to the UK,Japan and the US. According to Frost& Sullivan figures published in 2007,the US market for fish oil stands at17,384 metric tons, and the EUmarket at 13,340 metric tons. Therehave been some claims that fish oilproduction is contributing todepleting global fish stocks.However, Adam Ismail, executivedirector of GOED, says this is a“misconception” because fish oilgenerally comes from fish such asanchovies, herring, mackerel and

sardines, only a very small portionof which are sourced for humanconsumption. The one potentialthreat to the supply of marine-sourced omega-3 is environmental.Warmer waters, possibly as a resultof El Nino conditions, are thoughtto have contributed to lower DHAlevels in fish oil from SouthAmerican waters over the last fewyears.

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FISH OIL

This means that it has been harderto find the standard 18:12 ratio fishoil (18 % EPA, 12 % DHA). Becausethis became scarcer, prices went upby 50-75 % last year for crude fishoil. However, according to GOED,this had little impact on the price ofomega-3 as food or supplementingredients as most of the increasewas absorbed by the oil refiners.

The Use of Omega-3Netherlands-based producer DSMestimates the global value of thefish oil and algae-based omega-3ingredient market at €800m-€1bn($1.2bn-$1.5bn). Current growth isput at 10-13%/year, says AmandaRuess, director, nutritional lipids atDSM.

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THE USE OF OMEGA-3

INVERT SUGAR ABSTRACTThe food and drink industry depends heavily on enzymes. Enzymes produced by yeast have been used for thousands of years in brewing and baking. Invert sugar (IS) contains fructose and glucose in roughly equal proportions. The Invert sugar is greater in demand than pure glucose as food and drink sweeteners, because fructose is sweeter than glucose.Main consumers of Invert Sugar are the baking, beverages, canning, confectionery and dairy industries. In addition, high fructose syrup is used in

"The science relating to the healthbenefits of omega-3 gets strongerand stronger," Ruess says."Suppliers have overcome a lot ofthe technical hurdles for handlingomega-3 oils and have progressedin producing various forms, whichcan be used successfully in a widerange of end-products in foods,beverages, supplements and infantformulas."A recent report by the worldwideconsulting firm Frost & Sullivanestimates global consumption ofmarine and algal omega-3ingredients last year at 71,452tonnes, says Lori Covert, vicepresident of marketing andcommunications, Ocean NutritionOcean Nutrition Canada (ONC).North America is the largestconsumer, of 26,948 tonnes,

followed by Asia-Pacific at 21,145tonnes, the EU (13,596 tonnes) andthe rest of the world (5,762 tonnes)of omega-3 ingredients. "Thegrowth rate has averaged 30-40%annually during the last few years.We still expect significant growth inthe next several years," she adds.

For UK-based Croda, estimates theglobal refined oils and concentratedomega-3 ingredients market to beworth $1.3bn (€882m), and themarket for raw material crude oil at$180m. It estimates the globalmarket for consumer goods at$13bn.

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FISH OIL INDUSTRY ANALYSIS

According to the report of GlobalMarket Insights EPA/DHA ingredientsmarket size is expected to registerUSD 3.7 billion by 2022 growing at aCAGR of 9.1% from 2015 to 2022.Growing awareness of consumingnutrient fortified foods owing tonumerous health benefits isanticipated to drive EPA/DHAingredients market growth.Global nutraceuticals marketcomprising of food, beverages &supplements was estimated at overUSD 175 billion in 2014. These areimportant nutrients to maintainfunctioning of the body and help inpreventing cancer, heart diseases andarthritis. Global omega-3 market sizein terms of consumer spending onsupplements was valued at over USD3.4 billion in 2014.

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HEALTH IS WEALTH

Sharrann Simmons, seniormarketing manager at Germany'sCognis Nutrition and Health, agreesthat people are trying to self-treatin order to protect their healthbecause they don't have healthinsurance, are worried about losingtheir insurance, or their medicalbills are too high.Growing consumer awareness ofthe health benefits of omega-3 hasbecome the No. 1 driver for itsgrowth, she says. Scientific studiesreport that omega-3 fatty acids arebeneficial to heart, joint and brainhealth, and for cognitivefunctioning and developments,especially for infants and children.Recent studies tentatively supportthe use of omega-3 fatty acids intreating depression, therapeutic

management of autism, preventingage-related blindness anddecreasing the risk of prostatecancer. Recent market researchindicates that consumer awarenessof the benefits of omega-3 fattyacids in the US is around 75-90%,says Simmons.

Over "This is by far the highestconsumer awareness of any otherfunctional ingredient that would beadded to food and beverage," shesays. "Everyone understands that it'sa great ingredient, they need it, andthat they are not getting enough of itin their normal daily diet.“

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PROCESSING

1ST Step: Fish Oil 2nd Step: Omega-3 Oil

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