"The new office establishment can guarantee we have a large warehouse system in USA, which will make our product price more competitive and the products will reach cutomers' warehouse within two to three days in the whole North American area," Fenchem's Junny Liu told NutraIngredients-USA.com.
"The competitive price and fast delivery are key for our successful development in North American market," she added.
According to the company, the office will allow it to fulfill expectations of strengthening the market for nutrition ingredients used in dietary supplements and functional foods doubling its USA turnover over the next three years.
Liu said that the company currently holds about 40 and 30 per cent share of the US and North American sodium hyaluronate markets, respectively, prior to the office opening.
Having previously reported success in supplying the US dietary supplements industry with its sodium hyaluronate(HyaMax), IP certified natural vitamin E (Tocovet) and phytosterol (Cholevel), lutein beadlet (LuMarin) and lycopene beadlet (Nutra-Red), the company is now turning its attention the burgeoning functional foods market, said Liu.
The US functional food and beverage market is estimated to have $29bn in sales in 2007, according to Global Industry Analysts.
"Now, Fenchem will focus on Functional food market and has developed some new products to be ideally applied in food and beverage products, such as Inulin (In-fibre), Vitamin E succinate (Tocovet), Rosemary extract (EssenRose) and Omega-3 fatty acids (OmaCare), and so on," Liu told this website.
Earlier this year the Chinese ingredients supplier said it was positioning some of this range of branded ingredients to take advantage of the emerging market for oral products to deliver outward beauty benefits.
According to Germany's Analyse and Realise, the global market for cosmeceuticals is currently valued at around US$60bn, with a growth rate of 8 to 12 per cent. The term cosmeceutical refers to both topical and products with active properties; oral products are also known by a number of other names, such as 'skinceuticals' and 'nutricosmetics'.
A spokesperson for the company told NutraIngredients-USA.com in May that Fenchem is the first Chinese player to offer ingredients aimed at beauty for within, and it has signaled an intention to develop more ingredients for the market.
