The partnership is an example of how North American nutraceutical companies can work closer to the ground in China - a powerhouse for ingredients and manufacturing in the global dietary supplement industry. Genotec's partner in China is Anshi Pharmaceutical. While the operation is an outsourcing move, Genotec underscores it is following the current regulatory requirements for the US market. According to MM2, the plant in China was designed and built according to the latest Good Manufacturing Practices (GMPs) requirements. "The plant is a China SFDA certified facility that complies with cGMP manufacturing standards," said George Kontonotas, president of Genotec. "These high standards, which allow the plant to currently manufacture pharmaceuticals, make this among the highest quality plants which can be found manufacturing products in the nutritional supplement marketplace." The current capacity of the facility in Zhongsan City is 1.5 billion capsules per year. The plant is capable of expanding its capacity to 5 billion softgel capsules per year. "We have already met with some of the largest users of softgels in the nutritional supplement market," said Mark Meller, CEO of MM2 Group. "Our current focus is to supply large quantities of vitamin E capsules to several users." According to the partners, Anshi Pharmaceutical is a well regarded company in China that is well positioned to provide research and development, manufacturing, and export services to the pharmaceutical and nutraceutical industries in the US. "We anticipate that we will be in a position to announce more exciting business developments in the near future," said Meller. Chinese food and cosmetic imports have been put under a negative spotlight as the result of contamination cases involving products from pet food to toothpaste this year. In April, wheat gluten products imported from China for use in pet food were found to have been contaminated with banned chemical melamine and were blamed for the deaths of hundreds of dogs and cats. This uncovered a host of other cases that have left manufacturers who buy ingredients or materials from the country under pressure to demonstrate they are sourcing responsibly.