Progress 09/01/05 to 08/13/08
Outputs
OUTPUTS: Our project to establish profitable,sustainable sales of novel,high value fish-based feed ingredients targeted segments of the aquaculture, agriculture,pharamaceutical,and pet food industries.It included nine objectives.Outputs focused on industry awaremess of BioOregon Protein, customer needs,product volumes and values,barriers to entry,and critical additional technical development.Objective 1.We completed a brochure showing how SeaPro HP can be used in aquaculture feeds.It highlights application in low-pollution feeds and specialty diets,and includes product specifications.We compiled a listing of aquaculture feed manufactures in North America and several additional regions.Finally,we established that SeaPro HP has value in the pharmaceutical industry as a source of slow-release nitrogen in fermentation processes.Objective 2.We evaluated and rejected the micro-grinding process for producing BioGan 12-2-1.Alternatively,we identified and tested a spray-dry process to produce our foliar,fish-based fertilizer.This approach met our goals for particle size,cost,and handling.Objective 3.We completed a brochure showing how BioGan 12-2-1 can be used in organic agriculture.It highlights foliar, drip,and drench applications.We compiled a listing of potential customers including manufactures,distributors,and direct users of organic fertilizers in North America.Objective 4.We defined the format,content, and appearance of brochures used by successful ingredient suppliers to the pet food industry.Using this information,we developed a competitive brochure to support commercial introduction of our novel,fish-based ingredients to targeted customers in this industry.Objective 5.We attended and exhibited at the Watt Publishing Pet Food Forum (Chicago, Illinois) in 2006 and 2007.At each trade show,we surveyed attendees to determine their awareness of BioOregon Protein and its fish-based ingredients.Objective 6.We defined the format,content,and appearance of print and electronic advertising used by successful ingredient suppliers to the pet food industry.Using this information,we developed competitive advertisements to support commercial introduction of our fish-based ingredients.Objective 7.We created customer specific electronic presentations highlighting our company and its novel,fish-based ingredients.More than 15 commercial presentations were made to targeted, mid-major pet food companies over a period of about 30 months.Objective 8.We selected Naturox (KeminNutrisurance Inc) as the preferred,natural anti-oxidant to control oxidation of fish oil in SeaPro 75.An application system to reliably apply this anti-oxidant in our manufacturing process was designed,constructed,evaluated,and implemented.We completed all experiments and analyses necessary to determine costs and efficacy of naturox in SeaPro 75.Objective 9.We modeled (reverse engineer) a variety of dry dog and cat foods to evaluate potential use and value levels for our novel,fish-based ingredients in the pet food industry.With this information,we identified optimum inclusion rates and likely formulation values for SeaPro 75.Summary.Each objective was complete resulting in maximum project output. PARTICIPANTS: Sub-contract for project: DL Gallagher LLC Successful establishment of profitable, sustainable sales of SeaPro 75 to the pet food industry improved the customer-base and business activity for this pet food consulting business. In addition, our project improved Mr. Gallagher's understanding of all aspects of fish-based feed ingredients including details regarding raw materials, processing, packaging, and stabilization. TARGET AUDIENCES: Not relevant to this project. PROJECT MODIFICATIONS: We made one primary change in our project. This change affected minor portions of four objectives and involved the elimination of one product, BioOmega 3, from evaluation. Our reasons for eliminating this product included a determination that this novel, fish-based pet food ingredient could not be reliably manufactured with our existing equipment, that there were technical problems with stabilzation of its inherently high fish oil content, and that commercial packaging would be problematic due to poor product flow characteristics. In addition, early in the project we determined that it was very likely both SeaPro 75 and SeaPro HP would have a higher potential market demand as compared to BioOmega 3. All of these products used similar raw materials, hence we felt our best business decision was to move our commercial development focus to SeaPro 75 and SeaPro HP. Project effort and resources not used for development of BioOmega 3 were transferred and contributed to our outstanding commercial success with SeaPro 75 and SeaPro HP.
Impacts
We established profitable, sustainable sales of SeaPro 75 and SeaPro HP to segments of the aquaculture,pharmaceutical,and pet food industries by incorporating key project results into on-going business activities.Over the past 30 months,sales volume and value of SeaPro 75 and HP have consistently increased.In addition,the sale of BioOregon Protein to Pacific Group was completed thereby expanding manufacturing capability and access to raw material.Objective 1.We identified 63 aquaculture feed manufactures and one pharmaceutical company as potential customers for SeaPro HP.In 2006, sales volume and value of SeaPro HP 792,000 lbs and $615,000.Sales increased in 2007 and 2008,with unit pricing rising by 10 percent.In 2008,we negotiated a contract to supply 600,000 lbs to one customer.Objective 2.Micro-gringing processes for producing BioGan 12-2-1 did not meet our criteria for particle size and cost.This fertilizer can be produced by spray-drying,but this process requires significant capital investment.Objective 3.We identified 65 potential customers for BioGan 12-2-1.Objective 4.We successfully introduced SeaPro 75 to the pet food industry by distributing our brochure showing how fish-based ingredients can be used to increase quality and value in dog and cat foods. Specifically,we contacted about 100 potential customers and developed on-going sales with four pet food manufactures.In 2006,sales volume and value for SeaPro 75 was 253,000 lbs and $208,000.Volume and value increased in 2007 to about 1,420,000 lbs and $1,208,000.In 2008,sales volume and value of SeaPro 75 will grow to 2,450,000 lbs and $2,021,250. Objective 5.Our participation in the 2006 and 2007 Pet Food Forums were key opportunities for introducing our company and fish-based ingredients to the pet food industry.We significantly improved our company and product awareness.Objective 6.Advertisements for our novel,fish-based ingredients effectively supported commercial introduction of SeaPro 75 and HP by increasing company and product awareness.Objective 7.Customer specific electronic presentations highlighting our company and its fish-based ingredients also supported successful introduction of SeaPro 75 and HP.Objective 8.Oxidation of oil in SeaPro 75 can be controlled by applying the natural anti-oxidant Naturox (KeminNutrisurance Inc)post-dryer.Oxidative stability achieved using Naturox is sufficient to meet critical expectations pet food manufactures have for peroxide value and shelf-life.Objective 9.SeaPro 75 can be a key ingredient in premium cat foods. It functions to supply high quality protein and reduce ash and magnesium content.Used this way,the formulation value for SeaPro 75 ranges from $0.82-0.86 per lb(FOB OR).Summary.BioOregon Protein is "sold-out" of SeaPro 75 and HP through June,2009. After that time,new contracts for additonal production will depend on availability of raw material. Pricing is expected to increase slightly during the next 18 months.
Publications
- No publications reported this period
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Progress 09/01/05 to 08/31/06
Outputs
Our goal is to establish profitable, sustainable sales of novel, high value fish by-product meals to specific segments of the aquaculture, agriculture, and pet food industries. We are focusing on industry awareness of our company and products, customer needs, product volumes and values, barriers to entry, and additional technical development. The project has nine objectives. Objective 1. We completed a brochure showing how SeaPro HP can be used in aquaculture feeds. It highlights application in low-pollution feeds and specialty diets, and includes product specifications. We complied a listing of aquaculture feed manufactures in North America and several additional countries. We established that SeaPro HP can be used in the pharamaceutical industry as a source of slow-release nitrogen in fermentation processes. Objective is 90 percent complete. Obective 2. We evaluated and rejected micro-grinding processes for producing BioGan 12-2-1. We identified and tested a
spray-drying process that produces our fertilizer and meets all goals for particle size, cost, and handling. Objective is complete. Objective 3. We completed a brochure showing how BioGan 12-2-1 can be used in organic agriculture. It highlights foliar, drip, and drench applications. We compiled a listing of potential customers in North America including manufactures, distributors, and direct users of organic fertilizers. Objective is complete. Objective 4. We defined the format, content, and appearance of brochures used by successful ingredient suppliers to the pet food industry. Using this information, we developed a competitive brochure to support commercial introduction of our novel,fish-based ingredients in the pet food industry. This objective is complete. Objective 5. We attended and exhibited at the Watt Publishing Pet Food Forum (Chicago, Illinois) during 2006 and 2007. At each trade show we surveyed attendees to determine their awareness of BioOregon Protein and our novel,
fish-based ingredients. Objective is complete. Objective 6. We defined the format, content, and appearance of print and electronic advertising used by successful ingredient suppliers to the pet food industry. Using this information, we developed competitive advertisements to support commercial introduction of our novel, fish-based ingredients in the pet food industry. Objective is complete. Objective 7. We created several electronic presentations highlighting our company and novel, fish-based ingredients. They are being presented to targeted, mid-major pet food companies during initial and follow-up customer contacts. Objective is 70 percent complete. Objective 8. We selected Naturox (KeminNutrisurance Inc) as the preferred anti-oxidant for stabilizing our fish-based ingredients. We designed, constructed, and implemented an application system to use this anti-oxidant in manufacturing. All experiments needed to determine costs and verify efficacy of Naturox in our products have been
completed. Objective is 85 percent complete. Objective 9. We modeled one premium, dry cat food and determined an optimum inclusion rate and value for SeaPro 75 in the formula. Objective is 30 percent complete.
Impacts
The primary impact of this project has been its contribution to improving our business outlook. In the past 18 months, sales volume and value of our novel, fish-based products have grown with implementation of key project results. Additional growth is expected in 2008. During this same time, BioOregon Protein was purchased by Pacific Group Portland, Oregon. This ownership is providing capital to expand manufacturing and access to raw material. Objective 1. We identified 63 manufactures of aquaculture feeds that can be customers for SeaPro HP. We made targeted commercial presentations using our new brochure, and developed sales with two customers. In 2006, sales volume and value was 792,000 pounds and $ 615,000. Sales volume and value will be similar in 2007. We are developing sales of SeaPro HP to the pharamaceutical industry. During the past 18 months, sales volume and value were 450,000 pounds and $ 360,000. Objective 2. Micro-grinding processes for producing BioGan
12-2-1 cannot meet our goals for particle size and cost. Producing this fertilizer by spray-drying does achieve all goals including handling and application. Spray-drying equipment is too expensive for current investment in this process. Objective 3. We identified 65 potential customers for BioGan 12-2-1. Our brochure showing how this fertilizer is used in organic agriculture is complete, but we are not introducing BioGan 12-2-1 due to lack of spray-dry processing equipment. Objective 4. We are using our brochure showing how SeaPro 75 and BioOmega.3 can improve quality and value in pet foods to support commercial introduction in the pet food industry. We contacted about 100 potential customers and have developed sales with four pet food manufactures. In 2006, sales volume and value for SeaPro 75 and BioOmega.3 was 253,00 pounds and $ 208,000. Sales volume and value have grown in 2007, and will be about 1,420,000 pounds and $ 1,208,500. Objective 5. Attendance and exhibition at the
2006 and 2007 Pet Food Forms were key opportunities for introducing our company and its novel, fish-based ingredients to decision-makers in the pet food industry. We improved our industry and product awareness by participating in this trade show. Objective 6. Competitive advertisements supporting commercial introduction SeaPro 75 and BioOmega.3 in the pet food industry are complete. Objective 7. We are using our electronic presentations to introduction of our company and its novel, fish-based ingredients to the pet food industry. We have developed sales of SeaPro 75 and BioOmega.3 to four customers. Objective 8. Naturox (KeminNutrisurance Inc) is the only anti-oxidant used in SeaPro 75 and BioOmega.3. With this product, we have been able to meet all customer expectations for oxidative stability and shelf-life in fish-based ingredients. Objective 9. The value of SeaPro 75 can be as high as $ 0.82 per pound when used as a protein ingredient in premium, dry cat food.
Publications
- No publications reported this period
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