This comes after a major expansion from 2023 to 2024, which BGG said more than doubled the company’s production capacity and cemented its position as the world’s largest astaxanthin producer.
“BGG has invested significantly to not only expand manufacturing [capacity], but also elevate our R&D laboratories and resources. Science and technology are the core values that we bring to the market and we will continue to invest [in it] in the future. For each stage, we don’t have a separate CAPEX or OPEX. Everything is rolled into our overall investment.
“We continue to see global interest for astaxanthin as well as our other ingredients with an emphasis on healthy ageing and beauty-from-within for nutraceutical and topical applications. This expansion is part of BGG’s ambitious corporate goals to double sales by 2028, which we are on the path to achieve,” Thomas Adler, Global Commercial Director of BGG, told NutraIngredients-Asia.
Housed within the facility in Yunnan Province, BGG’s full glass-tube photobioreactor microalgae platform, claimed to be the largest of its kind in the world, will now incorporate the entire value chain.
This means that farming, extraction, drying, packaging, and research and development will all be conducted within a 20km area — a reduction from 2,000km, which will improve cost efficiency and decrease the company’s carbon footprint.
The concentration of capabilities will also support greater operational efficiency and productivity through faster technology transfer times and closer collaboration between operations and R&D, ultimately leading to a sharpened innovation pipeline and accelerated speed to market.
“The expansion isn’t just about increasing capacity. It is about boosting sustainability and strengthening resources. These intangibles are more relevant than decreasing the cost of goods. We’re focused instead on optimising production. For instance, BGG continuously invests in human clinical trials driven by market interests, as well as strain development,” said Adler.
As part of the expansion, a new, “cutting-edge” research laboratory has been established, with the size of the on-site R&D team grown by more than twice.
The team will focus on microalgae innovation and further advances in ingredient quality. They will also work closely with regional and international research institutes on topics including tropical plants and fungi in the local biome.
“We are committed to staying ahead of global shifts to ensure uninterrupted service to our customers. By strengthening our supply chain on multiple fronts, we are building a future-ready business that can thrive no matter how the trade landscape evolves,” Jürgen Nelis, CEO of BGG, added.
