Waikato-based company Manuka Health has signed an agreement with Japanese company CycloChem Bio Limited to import new cyclodextrin technology into New Zealand.

CycloChem Bio has developed a manufacturing process in which cyclodextrins - beneficial compounds derived from plants - can be used to encapsulate bioactives from natural products such as manuka honey. 

Together with scientists at the Kobe Medical School, CycloChem Bio discovered that cyclodextrins (oligosaccharide molecules) - can act as bioactive boosters when combined with the bioactives in manuka honey.

Their studies show that MGO™ Manuka Honey, taken as a supplement, has ten times more potency against bacteria such as Streptococcus pyogenes and Helicobacter pylori, responsible for throat and stomach infections.

Manuka Health's chief executive officer Mr Kerry Paul says under the agreement his company can manufacture encapsulated manuka honey and other bioactives in a range of delivery systems such as a tablet, capsule, ointment and spray, using cyclodextrins

Manuka Health has trademarked the new generation products as CycloPower™.

"Importing technologies which enable cyclodextrins to be combined with natural products adds value to the manuka honey industry and improves the efficacy of bioactive products," says Mr Paul.

"Cyclodextrins carry beneficial, natural bioactives through the digestive tract, making them more effective, soluble, stable and palatable. Presently, swallowing a supplement doesn't always guarantee your body will get the benefits. Our new generation of products should ensure people are not wasting their money."

Initially, the company will manufacture cyclodextrins at Auckland's Mangere "Food Bowl" facility while planning gets underway for a new, state-of-the-art $8 million extraction and processing plant at Te Awamutu. Construction is expected to begin next year.

Manuka Health recently purchased a 1.3 hectare site in Te Awamutu where it will consolidate the company's current operations - now spread over four sites - and provide the capacity to develop new generation bioactive products.

The company, which is rapidly becoming a leader in technology transfer, last week received a New Zealand Trade and Enterprise national growth fund grant to assist in marketing the new generation of manuka honey products. The grant, aimed at small to medium-sized businesses, will match Manuka Health's marketing budget for the new products dollar for dollar.

Manuka Health was established in 2006 following discovery by Professor Thomas Henle, Technical University of Dresden, of the compound, methylglyoxal, in manuka honey responsible for its anti-bacterial activity.

Mr Paul says this discovery provided the platform for his company's developments, but ongoing research into the rich field of bioactives is needed to further grow New Zealand's unique capability in natural healthcare and wellness products.

The company, which already has a research partnership with the Technical University of Dresden, is now looking to build new research collaborations between Dresden and New Zealand research institutions.

Since its formation six years ago, Manuka Health has achieved growth of $15 to $20 million turnover a year and now exports to more than 45 countries.

A finalist in the 2010 New Zealand International Business Awards in the "Best Business Operating Internationally" category, Manuka Health is the first company in the world to introduce a robust, scientific measurement for rating methylglyoxal levels in manuka honey