Joanna Cosgrove09.13.10
The broad and deep history of Traditional Chinese Medicine (TCM) has introduced the western dietary supplement market to many unique and unusual beneficial ingredients. Harbin, China-based Nutrastar International Inc. is preparing to add another name to the ingredient vernacular: Chinese Golden Grass.
Held in high esteem in TCM for its support of the lungs and kidneys, its beneficial effect on the immune system, blood pressure, and gastrointestinal disorders, Chinese Golden Grass (Cordyceps Militaris) isn’t a grass at all, rather it’s a species of parasitic fungus characterized by an orange, grass-like shoot that becomes visible above the ground after the fungus invades and kills underground moth pupae. It is found in the north eastern mountains of China and is widely believed to offer high medical and health benefits by nourishing the yin, boosting the yang, and improving lung and kidney function.
According to Nutrastar, both Eastern and Western research has shown that Cordyceps Militaris may boost the immune system and can be used as a supplement for the treatment of hyptension, in the treatment of certain cancerous tumors, and has been used in treating arteriosclerosis and gastrointestinal disorders.
According to Nutrastar, both Eastern and Western research has shown that Cordyceps Militaris may boost the immune system and can be used as a supplement for the treatment of hyptension, in the treatment of certain cancerous tumors, and has been used in treating arteriosclerosis and gastrointestinal disorders.
In addition to TCM compounds, Chinese Golden Grass is used in a variety of organic and specialty foods such as soups, beverages, supplements and other products in China.
Robert Tick, chief financial officer of Nutrastar International, said the fungus has a rather unique lifecycle. “The ‘caterpillar’ [technically it is a larva, since it is hairless] prone to infection by the fungus lives underground in alpine grass and shrublands on the tibetan plateau and the Himalayas at an altitude between 3000 and 5000 meters (9,800 and 16,000 ft),” he explained. “Spending up to five years underground before pupating, the caterpillar is attacked while feeding on roots. The fungus invades the body of the Thitarodes caterpillars, filling its entire body cavity with mycelium and eventually killing and mummifying it. The caterpillars die near the tops of their burrows.
“The dark brown to black fruiting body (or mushroom) emerges from the ground in spring or early summer, always growing out of the forehead of the caterpillar. The long, usually columnar fruiting body reaches 5–15 cm above the surface and releases spores. Our patented technology re-creates the growing cycle in a controlled environment and reduces the cultivation time to less than three months.”
Global markets for Chinese Golden Grass are mainly in the U.S. (within Asian communities), Canada, Japan, Korea, Hong Kong and Southeast Asia. European and Australian markets are also emerging.
Nutristar pointed to the Market Survey of Cordyceps Militaris 2008, published by The China Market Monitoring Center, which stated that the current international market demand for Cordyceps Militaris is about 1000 tons a year, while Chinese domestic market demand is about 500 tons a year, with an annual growth rate of over 13%. With about 50 Cordyceps Militaris manufacturers in China having an aggregate production capacity of only 250 tons/year, demand is outpacing supply in China.
The company is currently seeking to partner with distributors in the U.S. with the goal of making products available in 2011-2012. “I'm not sure there are any specific formulation challenges because you could always boil the product in water and use the water as the base for other products,” Mr. Tick said.
Wild Cordyceps Militaris can cost as much as $10,000 per kilogram, according to Georges Halpern’s Healing Mushrooms. Due to a large and growing demand for Chinese Golden Grass, wild strains have been severely depleted and harvesting is no longer permitted without government approval.
But the fungus is very difficult to obtain as wild strains are very rare. It also has extremely sensitive growing conditions and is very difficult to grow in a man-made environment, though Nutrastar has developed and patented a laborious, multi-step process to commercially grow it.
Armed with the ability to successfully grow the fungus, Nutrastar said it plans to introduce new, value-added products targeting multiple downstream markets, including mass consumer, nutraceutical and pharmaceutical markets.
For starters, the company has begun marketing a product called Cordycepin Compound (3-Deoxyadenosine). “Eastern and Western studies agree that Cordycepin is an agent that has shown promise in cancer research (specifically in tumor size reduction) and in boosting the immune system,” Nutrastar said.
Nutrastar has also been ramping up production and commercialization of its Golden Grass Energy Drink, which is said to help with “enhancing immunity, reducing fatigue and increasing circulation” and is targeted toward “affluent, professional, athletic and elderly consumers.”
Last month, the company filed a patent application covering the production process for its Golden Grass pertaining to wine and oral liquids. Nutrastar is the market leader in China with a 19% market share, and operates the world’s largest single source for cultivated Cordyceps Militaris, according to the company’s filings.
