aXichem

aXichem AB (publ), announces that the company's application for product registration in Brazil of its natural analogue product phenylcapsaicin as an ingredient in poultry feed, has moved one step further in the process, which is administered by the Ministry of Agriculture, Livestock and Food Supply (MAPA) in Brazil. Brazil, being the second largest producer of chicken meat, and the largest exporter, world-wide is a highly interesting market for aXichem's natural analogue product.

"MAPA has granted approval of phenylcapsaicin as a new raw material for zootechnical feed additive applications, to be utilized in both poultry and piglet feed. This constitutes the safety assessment in the regulatory process. The forthcoming phase will scrutinize the efficacy of phenylcapsaicin in accordance with the applications. Despite the unpredictability of this process, our continued progress is reassuring and reinforces our anticipation of gaining market approval in Brazil before the close of this year," says Torsten Helsing, CEO of aXichem.

About product registration and feed additive approval in Brazil

Product registration and feed additive approval in Brazil can in short terms be described as a process in two steps.

• Assessment and approval of raw material

All feed additives must be approved and listed as a raw material by MAPA. MAPA has now reviewed and approved phenylcapsaicin as a new raw material for feed additive and in this step made sure that the safety profile of the raw material meets the demands for the targeted animals (chicken and piglet), the consumers and the environment. aXichem now enters the second and final step of the registration process for phenylcapsaicin to be approved as a feed additive.

• Registration as a Feed Additive

Department of Inspection of Animal Products (DIPOA) is MAPA's responsible authority in this step. DIPOA reviews the application, looking at efficacy and safety of intended use on the targeted species. If all requirements are met, DIOPA will issue an approval for the feed additive.

About phenylcapsaicin and aXiphen
The health benefits of chili, with its active ingredient capsaicin have been known for centuries. aXichem's proprietary molecule, phenylcapsaicin, combines the naturally occurring phenyl group with capsaicin, bridged by a triple bond. The result is an innovative natural analogue capsaicin with high purity, where the pungency is greatly reduced.
Production tests and studies have proven the effectiveness of aXiphen^® as an ingredient in poultry feed. A production test on on-floor salmonella prevalence, following the inclusion of 15 ppm phenylcapsaicin in a regular starter diet, was carried out in a full-scale commercial broiler production trial under farming conditions. The production test included about 1.6 million broiler chickens. The trial concluded that under the conditions of the test, the inclusion of 15 ppm phenylcapsaicin in broiler chicken feed statistically significantly reduced the number of farms with salmonella-positive floor boot swabs. The European model for production efficiency, EPEF, showed that breeding efficiency increased by 14% compared to traditional feeding.

The information was submitted, through the agency of the contact person, for publication on June 9, 2023, at 09:00 AM CET.