Alpha Group: From West Auckland Garage to $115M Biotech Export Expansion in China
A Kiwi Biotech Manufacturing Pioneer with Global Reach
Alpha Group, a New Zealand-grown biotech manufacturing company, is expanding its international footprint with the construction of a new NZ$115 million fermentation facility in Ningde, China. This move marks the latest milestone for a business that began in a humble West Auckland garage nearly 30 years ago and has since evolved into one of New Zealand’s most prominent dual-market nutraceutical exporters.
Based in Manukau, Alpha Group specialises in the production of plant- and fungal-based bioactive compounds. The company operates integrated research and manufacturing facilities across New Zealand and China, positioning it at the leading edge of global fermentation technology innovation.
Scaling NZ Science Through Dual-Market Operations
The new 60,000 square metre facility in China will significantly enhance Alpha Group’s production capabilities. It combines advanced research and development, testing, treatment, and manufacturing into a single, state-of-the-art site. Once fully operational, the facility is projected to generate more than NZ$225 million in annual revenue, bringing Alpha’s total international footprint to over 119 hectares.
Alpha Group has already invested more than NZ$830 million into building its global infrastructure, making it one of New Zealand’s most substantial biotech export players.
The Origins of Alpha Group
Founded in New Lynn in 1998 by Professor Yihuai Gao, Alpha Group draws on world-class New Zealand research expertise. Professor Gao, a globally recognised figure in medicinal fungi and an Honorary Fellow at Massey University’s Riddet Institute, led the development of the company’s core fermentation technology.
The innovation, which was created in collaboration with Callaghan Innovation and Massey University, allows the rapid and consistent cultivation of Ganoderma Lingzhi mycelium, a powerful traditional medicinal mushroom. Unlike wild-grown Lingzhi, which takes around six months to mature, Alpha Group’s fermentation process delivers the same bioactive compounds in under 10 days.
This breakthrough is the first of its kind to be commercialised in New Zealand and has been approved by the Environmental Protection Authority.
Turning Research Into Export Growth
According to Mike Arand, senior business advisor at Alpha Group, the new facility reflects the company’s dual-market strategy: using New Zealand’s scientific strengths to power product development, and leveraging China’s infrastructure and consumer demand to scale.
“This facility unlocks exponential growth potential for New Zealand’s fermentation sector,” says Arand. “By bringing R&D and manufacturing together in one hub near our largest export market, we can boost production, shorten delivery times, and increase demand for New Zealand-derived ingredients.”
“It’s about building a global innovation ecosystem where Kiwi science drives offshore outcomes that flow back into local jobs, research and raw material demand.”
Ganoderma Lingzhi: A Platform for NZ Science-Led Exports
Ganoderma Lingzhi, also known as Reishi, has been a staple of traditional Chinese medicine for over 2,000 years. It is valued for its potential benefits in supporting immunity, cardiovascular health, and reducing inflammation. However, traditional cultivation methods are slow, unpredictable, and difficult to commercialise at scale.
Alpha Group’s fermentation method solves this problem by delivering high yields of potent, bioactive-rich compounds under controlled conditions. According to Professor Gao, this technology also serves as a scalable platform for producing a wider range of natural health compounds.
“We’ve built a system that not only produces Lingzhi efficiently, but can also be applied to other medicinal fungi, plants and marine ingredients,” says Gao. “This opens the door to new export categories for New Zealand—ones that are sustainable, science-led and commercially viable.”
The Future of Fermentation and Functional Food Exports
Fermentation is emerging as a transformative force in global food and health industries. By enabling the growth of functional compounds without the need for soil, climate dependency, or land-intensive farming, it offers an environmentally stable alternative to traditional agriculture.
Alpha Group’s expansion represents more than just company growth—it highlights a broader shift in how New Zealand science is driving innovation and commercial success in international markets.
Media Coverage
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