 |
H&N
photo by Andrew
Mariman
Desert Lake
Technologies, a
local company that
harvests algae from
Upper Klamath Lake
and sells the green
goods as dietary
supplements, is
expanding its
storage capabilities
by acquiring the
Klamath Cold Storage
on Spring Street.
|
Local
businesses still bringing in the
green
By TY BEAVER
H&N Staff Writer
October 21, 2008
The business of
harvesting algae from Upper
Klamath Lake isn’t what it used
to be, says Bob Longo.
Back in the mid-1990s, an
explosion of various products
made from the lake’s algae led
to an economic boom. Companies
and individuals touted a range
of benefits and uses. It was
said to increase mental health.
And it was good for plant
fertilizer, too.
“Anybody could have gone out in
a rowboat and hustled up some
algae,” said Longo, now an
executive vice president of
Desert Lake Technologies.
Heydey
past
The marketing
heyday is past, but, Longo and
others say, there is still a
demand for the various products
made from the algae. New
products and expansion efforts
show that those selling and
harvesting the algae are far
from falling away completely.
At the peak of the algae’s
popularity in health circles,
Simplexity Health, formerly
known as Cell Tech, employed
about 600 people in the Klamath
Basin. The company still has one
of the larger work forces of the
remaining companies but at a
fraction of its former self with
60 employees.
Simplexity and Klamath Algae
Products sell their products
direct to consumers as health
supplements, such as capsules,
powders and drinks.
Desert Lake Technologies is a
wholesaler, selling its powders
and capsules to other companies
to use in their own products.
And the companies aren’t doing
badly. Stanley Arcieri with
Klamath Algae Products says his
company is going after the
energy drink market with its
E3Live product, touting the
algae’s ability to boost mental
clarity.
“We’re doing OK considering the
economy is tanking,” he says.
Desert Lake Technologies, with
45 employees, is renovating the
Klamath Cold Storage building on
Spring Street in Klamath Falls
for warehousing. It’s the third
facility the company either
bought or built in the past two
years, including a new drying
facility in Keno and a research
and development center.
Jerry Anderson, executive vice
president of Simplexity Health
says Simplexity is moving
forward since coming under new
management in 2005. It is
expanding overseas in Asia and
the Middle East and developed a
second company that also sells
algae-based products.
While spokesmen at all three
companies say they are
benefiting from loyal customers
and solid sales, the bulk of
their business comes from
outside the Basin.
Longo attributes that statistic
to those living near the lake
having a negative impression of
the abundant algae and its
impact on water quality.
Regardless, his personal
experience and those of other
users have kept the industry
going and fuel its continued
growth.
“The sales are still there,” he
said.