Mosta company exports innovation

Institute of Cellular Pharmacology (ICP) – shortlisted for the Most Innovative SME Business Award (annual turnover less than €10 million), and Most Improved SME Exporter Award (annual turnover less than €10 million)

When, 17 years ago, Charles Saliba and Gilles Gutierrez started brewing an idea to study Maltese marine and terrestrial plants for their properties’ potential, they were only met with scepticism.

Ten years down the line, the self-sustained Institute of Cellular Pharmacology at the Mosta Technopark has registered over 40 patents. Since 2004, the institute has sustained considerable growth in sales and profit. This healthy growth justifies the funds that are still needed in order to sustain the research which makes up 90 per cent of the institute’s activity.

The institute is involved in research and development, and the extracting of algae, flora and fauna. These preparations are sold by major companies in the cosmetics, food supplements and animal nutrition industries.

Through their research and innovation, Saliba and Gutierrez have put on the map some of Malta’s under-used assets like the Padina pavonica (known as il-ħassa l-bajda in Maltese), the prickly pear, cactus and pomegranate. Their products have penetrated key markets for international brands in cosmetics, with multinational food companies and in the animal husbandry field.

The marketing strategy pursued by ICP was based on basic, fundamental principles. The initial investment focused on building state-of-the-art laboratories, followed by training a team for research projects working in close collaboration with leading universities worldwide.

Over 20 theses have been submitted, some to PhD level on research supervised by the ICP team. The institute assists an average of five scientists for research and projects annually in line with its policy to invest in a young talent pool to secure a continuous and dynamic future.

“Another key strategy was to spread the risk,” Mr Saliba says. “ICP geared the product development, based on the same active principles, for three main areas: the cosmetic market, consisting of a relatively small volume of sales but very high value; an interim market in food supplements, which are sold in relatively larger quantities at an intermediate value; and animal nutrition where massive volumes are sold with a relatively low value.

“By being active in distinctive markets, we have a certain level of security. In times of crisis, people spend less on high value products however, sales in the interim value products, such as foods, tend to remain fairly constant. Consequently, the turnover does not fluctuate tremendously even in times of crisis. This enables us to plan our development strategy over a long period of growth which is sustained through the patents registered that protect our activity.”

The export strategy is based on identifying partners in the three sectors of activity who could support products and deliver them to the market on an international scale. This strategy is based on the multiplier effect.

The institute is currently researching the production of a mineral known as opal, for application mainly in the dentistry industry.

The strength of opal and its accelerated wound healing properties are expected to yield a high volume, high value product.

www.icpconcepts.com

The three nominees for each of the four categories to participate in the final awards night on November 26 were selected by an independent judging panel made up of two senior officials from KPMG, Notary Clyde La Rosa and appointed officials from HSBC Bank Malta plc and Vodafone Malta plc.

HSBC- Vodafone Export and Innovation Awards

Earlier this year, HSBC and Vodafone Malta embarked on a joint initiative to reward Maltese businesses for their export and innovation talent. Three have been shortlisted in each of the four categories: Most Improved SME Exporter (annual turnover less than €10m); Most Improved Corporate Exporter (annual turnover more than €10m); Most Innovative SME Business (annual turnover less than €10m); and Most Innovative Corporate Business (annual turnover more than €10m). Winners in each category will be awarded at a gala ceremony on November 26. The Times Business is carrying highlights from each of the selected companies’ formula for success.