Singapore Crawfish seeks pharma investors for chitin byproducts venture

A Singapore-based trader in crayfish is hoping to add to its margins by setting up a new operation to extract chitin from crayfish shells.

Desmond Chow, CEO of Singapore Crawfish Pte., which ships crayfish from farms in Southeast Asia to China and other major markets, said the full value of the crayfish he processes is not currently being captured. A derivative of crayfish shells, chitosan may be used to make biodegradable plastic, while the shells can also be used for fertilizers or aquaculture feed as they contain high amount of calcium. And chitin, as it contains a high amount of calcium, is currently used as a flavoring agent and emulsifier in food, and is also made into human-grade health supplements to control blood pressure and cholesterol.

“There is huge potential of crawfish shells entering this market. With our research, we can commercialize the shells and possibly earn millions from them,” Chow told SeafoodSource. “Pharma companies are also buying up the shells to extract chitin themselves. They can invest in crayfish aquaculture in order to have a stable and secure supply of crawfish shells to extract chitin from.”

Singapore Crawfish has developed its own research and development for chitin and chitosan, but having a partner that directly uses the end-products would benefit both parties, Chow said.

“We are in the research phase of extracting chitin commercially,” Chow said. “We can currently extract chitin; However, we will require more research to reach economies of scale.”

Investment in the nascent industry could make a difference in producing higher-quality raw materials, according to Chow.

“The rearing process matters,” he said. “For example, the feed that you feed the crawfishes and the environment the crawfishes grow up in can all affect the quality of the chitin in the shells.”

Chow believes he can add significantly to his margins by using the shells.

“Crawfish meat itself commands a premium price,” Chow said. “Chitin itself can also fetch a good price. International chitin prices range from USD 3.50 (EUR 2.94) to USD 6.50 (EUR 5.46) per pound and are USD 6.50 (EUR 5.46) to USD 100 (EUR 84) per pound for chitosan, a derivative of chitin. Crayfish shells contain 15 to 20 percent chitin and as much as 75 percent calcium carbonate, along with skeletal protein that can be made into chitin and chitosan.” 

Officials in Qianjian, Hubei Province – the center of China’s crayfish cultivation – have declared the city the “world chitin capital” and, in 2019, launched a nationwide media campaign focusing on locally produced, high value-added products such as glucosamine hydrochloride, as well as other chitin-derived products.

Photo courtesy of elen_studio/Shutterstock

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