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Thai Union Manufacturing Co Ltd, a member of the Thai Union. Group of Companies, and Nippon Suisan Kaisha Ltd of Japan have formed I a new venture - TN Fine Chemicals Co Ltd - to produce high grade tuna oil in Thailand. With a registered capital of THB 90 million (US$ 2.7 million), the new firm aims to develop seafood by products into fine chemical products that can be used as ingredients in dietary supplements and pharmaceutical products. More than THB 80 million (US$ 2.4 million) would be invested in equipment and machinery based on new production technologies that were never used in Thailand before. In addition to creating more value-added products, the joint venture will help reduce material wastes from Thai Union's main seafood production lines.

Thailand is not only a major seafood producer in, the world but also is the world's No 1 manufacturer and exporter of processed tuna. The first phase of production will begin with tuna oil products. The firm aims 	to produce high grade tuna oil suitable as an ingredient for baby formulas that help enhance brain development in young children. At the initial phase, TN Fine Chemicals will produce 540 mt of tuna oil per year, with sales expected to exceed THB 125 million (US$ 3.8 million). Besides tuna oil, the joint venture plans to extract glucosamlne from shrimp and crab shells. Glucosamine is a key ingredient of pharmaceutical products for treating arthritis. The chemical can act as a lubricating fluid in human joints.

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