Farmweek Page 10 Monday, November 25, 2002

Illinois firms set to market high-fiber fat alternative

BY KAY SHIPMAN

FarmWeek

A suburban Chicago company plans to market a low-calorie, high-fiber fat replacement made from grain hulls and bran as an ingredient in a variety of foods.

The ingredient, Z-Trim, was developed by Dr. George Inglett, a chemist at the USDA National Center for Agricultural Utilization Research in Peoria.

Circle Group Internet Inc., based in Mundelein, recently acquired the patent rights to Z-Trim when it bought Fiber-Gel Technologies, Inc., that had exclusive rights for the product from USDA.

The beauty of Z-Trim is its potential use in everything from deli meats and processed cheese to cookies and candies to health drinks and products that would help diabetics control blood sugar levels, according to Greg Halpern, chief executive officer of Fiber Gel and Circle Group.

In addition, Z-Trim can be made from almost any grain, including corn soybeans, wheat, oats, and rice, without affecting the taste, said Halpern, a self-described "health guy."

For grain processors, Z-Trim would be a high-value use for what is essentially a waste byproduct.



Halpern estimated grain hulls, which sell for $24 a ton (less than a cent pound), could increase in value to three or four dollars a pound.

"We will help the grain millers take what they've been throwing away and basically turn it into gold,” Halpern said.

Inglett developed the fat replacer about seven years ago while investigating methods to turn crop components, such as fiber and starch, into value added products. His invention, named Z-Trim, was patented in June 1998.

Z-Trim can cut the calories in foods by up to 50 percent, reduce the saturated fat by 90 percent, increase the amount of fiber, and not affect on the taste or mouth-feel of the food, Halpern said.

"This will be an ingredient company, that's the key, Halpern said. He would like the Z-Trim logo to become recognizable to consumers like the swirl linked to sugar substitute Nutri-Sweet.

Z-Trim's impact on the market will depend on how much demand it generates as a replacement product, said Mark Jenner, an economist with the American Farm Bureau Federation.

It will be vital for Fiber Gel to integrate the replacer into many products just as corn sweetener enjoys widespread use, Jenner explained. "It's going to take an acceptance like that (for corn sweetener) to change the economics of the (grain) hull market," he said.

Z-Trim's initial appearance may be in Asian markets. The company signed an agreement with a Japanese firm that plans to use an Australian grain processor, Halpern said.

The Australian company estimates production of 1,500 metric tons of the product per week. On the nutriceutical front, Halpern's company is talking with a Canadian firm, he said.

Halpern said he also wants to manufacture Z-Trim in the U.S. "We have to find a grain miller in the U.S. to talk with. And we're looking for partners on the venture," Halpern added. He said he has fielded 51 inquiries about the product in the three months since his company obtained the rights to Z-Trim.


USDA chemist George Inglett invented Z-trim, a low-calorie, high-fiber, reduced fat ingredient at the National Center for Agricultural Utilization Research, Peoria - A suburban Chicago company, Circle Group Internet Inc., recently acquired the rights for the food ingredient. (Photo courtesy USD.A Agricultural Research Service)