zuChem Receives Xylitol Grant

zuChem Receives Xylitol Grant

PEORIA, Ill.The BiotechnologyResearch and Development Organization (BRDO) awarded Chicago-based zuChem Inc. aresearch grant to commercialize a fermentation approach to manufacture xylitol. The grant is worth $600,000 over three years, and BRDO willprovide an additional $300,000 to the U.S. Department of Agricultures (USDA)National Center for Agricultural Utilization Research to support a scientificcollaboration with zuChem on the xylitol project. Under the agreement, zuChemwill hold exclusive commercialization rights to technology developed as a resultof the program.

By using a proprietary biocatalysis technology, zuChem will beable to manufacture xylitol more cost effectively and expand the market throughthe use of alternative raw materials, according to the company. The xylitol market is poised to expand dramatically if itcould be produced inexpensively from readily available raw materials, saidDavid Demirjian, president of zuChem (www.zuchem.com). The [BRDO] grant ishelping us develop and commercialize a novel approach to manufacture xylitolthat solves these problems. The new process will be more cost effective, andopens the production route to a wider range of very inexpensive raw materials,including those derived from corn and corn products.