Microbix Biosystems' CEO visits China to formalize the licensing agreement for the Company's SST technology and to discuss other business opportunities

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[{"type":"text","content":"\n\n\n\nTORONTO, Nov. 13 /CNW/ - The CEO of Toronto-based Microbix Biosystems\nInc. (TSX:MBX), William J. Gastle, held a series of meetings with high-ranking\nChinese officials over the past week to formalize the licensing agreement for\nthe Company's animal reproduction technology and to discuss other business\nopportunities in China.\n\n\nAs announced on June 18, 2007, the Animal Fine Breeding Station of Hebei\nProvince has agreed to become the exclusive distributor of Microbix'\nproprietary Semen Sexing Technology(TM) (SST) in that country.\n\n\nGastle met with senior officials of the province including the Vice\nGovernor of Hebei, Song En Hua, the Minister of Agriculture for Hebei, Liu Da\nQun, and many other important dignitaries from the Chinese federal and\nprovincial governments, along with representatives of the Canadian Embassy in\nChina.\n\n\nThe Chinese demand for milk and beef is growing substantially and\nexpectations are they will require 200 million tons of milk per year. The\naverage production of milk from a cow is just under 10 tons per year. The\ncurrent dairy herd in China is about 10 million cows so this needs to double\nto meet domestic demand.\n\n\nMicrobix' SST technology allows producers to determine the sex of\nlivestock offspring resulting from artificial insemination. SST will allow\nChinese dairy farmers to breed only female animals for their milking herds.\nLikewise, the technology will ensure that beef producers end up with only the\nrequired male animals for meat production. SST will allow China to expand its\nbeef and dairy capacity at a much faster pace.\n\n\n"China represents a significant growth opportunity for our technology,"\nsaid Gastle. "We're pleased to be involved in this market, and we're delighted\nby the incredibly warm reception we've been given." Microbix was also honoured\nat a formal dinner event that was attended by over 200 people including many\nChinese academic and agricultural associations, breeding stations of several\nother regions in China and various media representatives.\n\n\nLast year, Microbix also signed non-exclusive agreements with a number of\nartificial insemination (AI) companies based in Europe, North America and\nAustralasia. These companies will pay a 15% of sales royalty to Microbix and\nrepresent 13 per cent of the current $2.5 billion...

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