Minister Martin Officially Opens Glanbia Group Innovation Centre.

PHASE TWO EXPANSION AND NEW GLANBIA SCIENTIFIC ADVISORY COMMITTEE ANNOUNCED.

The Minister for Enterprise, Trade and Employment, Mr Micheal Martin TD, today officially opened the Glanbia Group Innovation Centre in Kilkenny, which involves an investment of over €15m over the next four years. The Minister led a group of international customers and other visitors on the first official tour of the 1265 sq meter, world-class facility.

The Centre, supported by Enterprise Ireland, has been in operation since September 2004 and currently employs 42 people - 16 development professionals and 26 highly skilled research scientists. This number is to increase to 52 in October this year when a further 700 sq metre expansion is complete.

The Glanbia innovation team develops a range of nutritional solutions focused on weight management, immune balance and intestinal health products, as well as functional ingredients and hand-held consumer snacks and beverages. The Centre also substantiates health claims for Glanbia's science-based functional ingredients, which are subsequently incorporated into products by food & beverage or "near-pharmaceutical customers".

The Innovation Centre, which has specialised laboratories, pilot plant, sensory analysis facilities and a research library, was a first for the Irish food industry when announced in April 2004. In recent months Glanbia established a Scientific Advisory Committee, Chaired by Professor Gerald Fitzgerald of UCC. This advisory group provides regular collaboration between Glanbia and the international research community.

Officially opening the Centre, Minister Martin congratulated Glanbia on taking the lead in investing in higher value added research.

Minister Martin said: "Enterprise Ireland's recent strategy document `Transforming Irish Industry' focussed on the need for Irish companies to compete through innovation and market knowledge. Increased investment in R & D, successful commercialisation of research and effective partnerships between industry and third level colleges will be critical in meeting this transformation challenge. The Glanbia Innovation Centre, with a team of highly qualified nutritionists, microbiologists, immunologists, food scientists and applications experts is a tangible example of the transformation of the Irish food industry. "

Commenting on this development, Glanbia Group Managing Director, John Moloney, said:

"Innovation is at the heart of Glanbia's growth strategy. Our innovation agenda is based on the continued development of health-based functional food ingredients and consumer foods with a nutritional emphasis - both dairy and non-dairy. The protection of intellectual property is also crucial to the success of this agenda. All our research is based on a close study of consumer lifestyle changes and the need for efficient nutrition and ensures that innovations are commercially relevant.

"The focus of this Innovation Centre is on the European consumer foods and nutritional markets and complements our existing US innovation centre in Idaho, which has special expertise in whey protein extraction technologies. Glanbia has now decided to add to the phase one investment with a further expansion - comprising further laboratory space for technologically sophisticated biochemical and microbiological analysis and clinical trial support - due for completion this October. This will result in the appointment of another ten people bringing the total number of research scientists and commercialisation staff to 52.

Examples of new products developed by the Glanbia innovation team in the past year are the new Avonmore flavoured milks, an advanced weight management protein beverage mix called "Prolibra" and a recently launched cereal based, cholesterol reducing product called "Oatvantage".

Welcoming the announcement by the Minister, Mike Feeney, Executive Director, Enterprise Ireland said: "The case for innovation is clear, as food companies find themselves in an environment where change is happening rapidly. Consumers are demanding new products, new tastes, a focus on health and well being and convenience - and all without compromising on quality or cost. Only those food companies with an eye to the market and a focus on the customer will be in a position to innovate and respond speedily and imaginatively to these changing market demands. This Centre will be a critical factor in positioning Glanbia to respond to this environment."

Ends 23rd June 2005

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