Fine Chemicals

    Amino Acid Reated Operations Industrial Use
    Further information for scientific researchers and industrial users

AminoScience, feed-use amino acids, pharmaceuticals

  Ajinomoto has leveraged its world-leading amino acid production technology to branch out into a variety of businesses. In addition to pharmaceutical-use and feed-use amino acids, Ajinomoto has diversified into fields such as sweeteners, pharmaceutical intermediates, functional nutritional foods and ingredients for cosmetics and toiletries. The Company is making full use of its technological expertise to remain the leader in the global amino acid market. With demand in this market projected to continue expanding, Ajinomoto aims to further solidify its position by improving its cost competitiveness through productivity gains driven by technological innovation.

AminoScience
  A particular focus is on amino acids for use as raw materials in clinical nutrition products, gastrointestinal medicines and hypertension medications. In March 2000, an amino-acid production system encompassing every stage from fermentation to refining began operations in China. This new addition will strengthen our supply network that includes three plants in Japan and the North Carolina plant in the United States, and will give us the capacity to meet expected growth in demand. In the field of pharmaceutical-use amino acids, our ability to provide a stable supply of high-quality products has led to a global market share of 60 percent.
  Aspartame, an amino-acid-based sweetener, is a product that is well suited to changes in eating habits and increasing health consciousness. As a result, demand for this product is expanding not only in the major markets of North America, Europe and Japan, but also in Southeast Asia and South America, and sales are growing steadily. Our international production and marketing network for aspartame was further strengthened in May 2000 when two EU joint ventures became fully owned subsidiaries of Ajinomoto under the names Ajinomoto Switzerland A.G. and Ajinomoto Euro-Aspartame S.A.
  In the pharmaceutical intermediates business, we combine our amino acid and nucleic acid technology with the superior production technology of S.A. OmniChem N.V., our European operating base, to supply high-quality pharmaceutical intermediates at competitive prices. We have received positive evaluations from major U.S. and European pharmaceutical firms, which are increasing their use of outsourcing, and we therefore expect this to be a high-growth business area.
  Our business in the functional nutritional products segment is growing steadily. The main product in this area, Amino Vital, was designated as an official food/beverage of the Honolulu Marathon. In addition, new products introduced recently are gaining popularity among sports enthusiasts and general consumers alike. Ajinomoto will continue developing new products in this business segment that take advantage of the unique properties of amino acids.
  In tandem with rising consumer concern for the environment, demand is also expected to increase for materials that are gentle both to the skin and to the environment. Ajinomoto is responding with amino-acid based products for cleansing agents and other cosmetic products. International recognition of our materials is growing, and we are organizing our production network to effectively meet the needs of multinational users.
  In the specialty chemicals business, we are developing technologies for functional chemicals and electrochemicals. Our subsidiary, Ajinomoto Fine-Techno Co., Inc., develops insulating materials as well as flame retardants, curing agents and dispersing agents for resins. Our technology has been well received by customers in basic industries including automobiles, electrical machinery, and construction, as well as high-tech fields such as computer components.

Feed-use amino acids
  Ajinomoto has parlayed its world-leading fermentation and production technologies into a 35 percent share of the global market for feed-use lysine. With six plants around the world, we are able to handle a wide variety of raw materials through a production and marketing network that is closely attuned to market needs. We have thus established a business structure that is largely insulated from the effects of changes in the market environment, and are building a competitive cost structure that is unmatched by any other company. Growth prospects are bright in this market, and Ajinomoto will continue making active financial investments to efficiently increase production capacity.

Pharmaceuticals
  In pharmaceutical research and development, Ajinomoto focuses on the fields of diabetes, infusions, clinical nutrition, gastrointestinal diseases and cardiovascular diseases. In 1998, Ajinomoto began operating a state-of-the-art pharmaceutical research and development facility. In 1999, Ajinomoto founded development facilities in New Jersey, U.S.A. and in Surrey, England, and established a tripartite development system. Through this network and research organization, using up-to-date technology, Ajinomoto is working to develop breakthrough drugs that can be marketed globally. One drug that we expect to make a strong contribution to results in the twenty-first century is Nateglinide, an antidiabetic agent. Launched in Japan in August 1999 under the brand names Fastic and Starsis, it has gained a favorable evaluation from the market. This drug will be launched by Novartis Pharma AG in markets around the world, except Japan and South Korea, after the end of 2000.
  In the clinical nutrition and gastrointestinal-related fields, Ajinomoto Pharma Co., Ltd. was established in December 1999 as the first company in Japan aimed at supporting total nutrition care. The company has gotten off to an excellent start, gaining high market shares for infusions, enteral formulations and clinical nutrients for hepatic and renal diseases that are supported by Ajinomoto's amino acid-related technology.
  In China, South Korea and countries in Southeast Asia, Ajinomoto is expanding its pharmaceutical business by introducing products already on the market in Japan. Furthermore, we are the exclusive supplier of dideoxyinosine (DDI) to Bristol-Myers Squibb Company. DDI was recommended by the U.S. Food and Drug and Administration as a first-line therapy for AIDS.