What are the major barriers of entry for competitors?
For corn based biochemical products, the major hurdle is advanced technological know-how. Only a handful of companies in the world can produce specific kinds of corn based biochemical products, like lysine, in mass commercial production capacity. To stay competitive, it is envisaged that vertical integration in the industry is essential. The time and capital expenditure needed to establish a production network is substantial and cannot be achieved in a short time frame.
