Nutrition sales recovery reflects consumer confidence, says Lonza
In a first quarter business update released today, the firm said its Nutrition Ingredients sector saw a volume recovery in the first three months of the year, which compares to a continuing volatility in other areas of its business.
“Our nutrition business is very closely related to the end market. When you look at the economy, as soon as people start to feel a recovery, it is reflected in demand for our products. This division very easily recognizes the end-user market,” Lonza heads of investor relations Dirk Oehlers told NutraIngredients.com.
The firm did not disclose full trading figures, but said that its Nutrition Ingredients sector makes up 30 per cent of its Life Science Ingredients division, which recorded full-year sales of €715m in 2009.
L-Carnitine
Together with a range of vitamin ingredients, the main product sold in its Nutrition Ingredient sector is the L-Carnitine based ingredient Carnipure.
L-Carnitine, a vitamin-like nutrient, occurs naturally in the human body and is essential for turning fat into energy. It is frequently used as a dietary supplement by physically active people to help with post-exercise recovery. It can be synthesized in the human liver, but insufficient amounts may be produced in infants, in adolescents and in adults under certain physiological conditions.
Lonza, which claims to be the world's largest manufacturer of L-Carnitine, has said that extensive scientific research shows the supplement promotes cardiovascular health and that other studies suggest the nutrient may be useful in weight management.
Lonza today announced that sales for Carnipure were above target in the first quarter of 2010 due to “new contracts signed with major players.”
Volatile market
Other sectors in the business did not perform quite as well, with the company saying that overall “a full recovery of the economic environment is not yet seizable”.
“Although the environment remains volatile and we are not yet trusting the stronger demand to represent true and full economic recovery, the progress in the first quarter is encouraging,” said Lonza CEO Stefan Borgas.
