DSM Funds Biofuels R&D, Cuts Jobs

DSM will fund the majority of a $33 million program to develop second-generation biofuels from nonfood raw materials. The program, which received $7.4 million from the Department of Energy, aims to create "green collar" jobs at DSM's Belvidere, N.J., plant, where the company uses fermentation to produce the nutrient arachidonic acid. DSM says it will develop enzymes to hydrolyze plant cellulose and xylose into sugars that then can be fermented into ethanol. Separately, DSM will scale back the Greenville, N.C., facility where it conducts sterile manufacturing of finished pharmaceuticals. According to local media reports, 15-20% of the facility's workforce of about 1,200 could be eliminated.