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The Spoon

Daily news and analysis about the food tech revolution

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With European Governmental Approval, Ynsect Moves Forward With Its Plan to Feed the World, Save the Climate

Will bugs save the world?

Save may be a strong word, but Paris-based Ynsect, a producer of insect protein and natural insect fertilizers, believes in the dual mission of feeding the world and protecting our diminishing climatic resources. That vision moves a step forward with backing from a European food safety agency and data that supports a change in consumer attitudes toward a diet containing bugs and insects.

According to Ynsect’s CEO Antoine Hubert, approval by the European Food Standard Agency for Ynsect’s Lesser mealworm for human consumption will allow his company to quickly move forward with its efforts to create its line of insect-based products as well as work with third-part food manufacturers.

“Our company was born from a passion for helping tackle climate change through real solutions. Insect protein, which can easily be incorporated as a powder into a whole range of products, is healthier than plant protein and more environmentally friendly than traditional animal proteins,” Hubert told The Spoon in a recent interview. “We’re excited to see the EFSA approval come through in line with consumer demands; conscious consumers become increasingly informed of better choices for both them and the environment.”

Coinciding with the EFSA green light results from an independent research firm gave further credence to Ynsect’s timing. OnePoll, a British market research company, surveyed consumers to gauge their willingness of participants to consume insects as an alternative source of protein. At first, only 59% were open to the idea, but after learning the benefits of insect consumption, over 70% responded favorably. More than half of vegans and vegetarians responded favorably once the benefits were explained.

Mealworms are the larval form of the mealworm and Buffalo beetles, an insect that Hubert says is rich in protein and fat. The mealworm as a bug has been part of Southeast Asian diets and can reproduce prolifically. Ynsect uses vertical farming techniques to “grow” these insects and deploys chemical-free produce to turn them into a range of products, including fertilizers and pet food. Recently, Ynsect expanded its footprint by acquiring Protifarm, a Dutch mealworm producer, and then by incorporating Nebraska-based Jord Producers, a start-up mealworm farm, into its portfolio.

Ynsect’s consumer product is called AdalbaPro, a minimally processed ingredient line offering meat replacement and protein fortification solutions. Working with European partners, AdalbaPro products are already in several baked goods, sports nutrition, pasta, and meat alternatives. AdalbaPro contains all essential amino acids, vitamins, and minerals as a high-quality animal protein.

As Hubert chronicles his company’s path, not only has it shown organic growth by evolving from a fertilizer/aquaculture company to pet food and then to a product for humans, but Ynsect’s approach has also overcome the issue other alternative protein companies face in building infrastructure. The company has carefully conducted its mealworm growing processing plan, which allows it to remain nimble for an opportunity in Europe and, hopefully, after governmental approval, the U.S.

To date, Ynsect has raised more than $400 million from such companies as OurCrowd, SuperNova Invest, and Caisse d’Epargne. The company also has captured the imagination of the real-life Iron Man, Robert Downey Jr. The actor/investor recently touted Ynsect’s product on Steve Colbert’s late-night show.

(Extract) Robert Downey Jr - The late Colbert show with Stephen Colbert

FDA Approves Perfect Day’s Animal-Free Whey Protein as Safe to Eat

Perfect Day, the startup using fermentation to create animal-free dairy proteins, has officially received approval for its proprietary whey protein from the Food and Drug Administration (FDA). In a letter, the FDA writes that it has “no questions” that β-lactoglobulin — Perfect Day’s proprietary protein for its flora-based products — is Generally Recognized As Safe (GRAS).

Perfect Day submitted the notice to approve β-lactoglobulin to the FDA on May 20, 2019, so it’s taken roughly 10 months for the FDA to officially approve it. The protein is created by fermenting a genetically modified strain of the yeast Trichoderma reesei. Said yeast is submerged in media, where it ferments and excretes the β-lactoglobulin protein. The whole solution is then put through a centrifuge to separate out the protein, which is then filtered and dried to create a raw product. Add fat and water, and you’ve got something that’s essentially animal-free milk — and can be used to make ice cream, cheese, and basically anything that contains dairy.

In the FDA letter, Perfect Day plants an important stake in the ground. The company “concludes that the protein characterization data shows that the sequence of β-lactoglobulin produced by fermentation is identical to commercially available bovine-produced β-lactoglobulin.”

In short, Perfect Day claims that its flora-based milk is essentially the same thing as the milk from a cow you’d buy in the store. The FDA backs that up — at least to some extent — when states in the letter that β-lactoglobulin needs the same allergy labeling as milk. It is, at least for those with dairy allergies, the same thing.

The FDA hasn’t approved Perfect Day to sell its protein willy-nilly. The letter explicitly states that the β-lactoglobulin protein is “not intended for use in infant formula or in products subject to regulation by the United States Department of Agriculture.” But Perfect Day is free to sell its flora-based dairy protein to larger CPG companies to make animal-free products, as it had planned to do all along.

According to Ryan Pandya, Perfect Day’s CEO, this GRAS certification hasn’t affected their go-to-market timeline one way or another. He wrote to me that “we were expecting to secure the certification,” and had essentially been preceding under the assumption that it would be granted. Since the FDA has already approved fermented ingredients to replace animal products in the past — like Impossible Food’s blood-like heme — it’s not a reach that Perfect Day’s dairy proteins are considered GRAS.

Waiting for the GRAS letter may not have been holding up Perfect Day’s plans, but COVID-19 could still wreak havoc on their timeline. Pandya didn’t reveal any specifics about the pandemic’s effects, only noting that they are “adjusting our plans as needed.”

Perfect Day released its first product — animal-free ice cream — last year and plans to announce its first commercial partnerships in early 2020 (as in, any day now).

Impossible Foods Applies to Sell “Bleeding” Burgers in the EU

Impossible is gearing up to start selling across the pond. Bloomberg broke the news yesterday that the plant-based meat startup had filed with the EU to gain regulatory approval for their products — specifically soy hemoglobin, the molecule that gives Impossible’s meat its “bleeding” flavor and appearance.

We reached out to Impossible, who confirmed that it has indeed filed paperwork with the European Food Safety Authority, the EU agency that provides independent scientific advice regarding the food chain.

“Impossible Foods’ intention is to sell plant-based meat in every single region of the world,” the PR rep told me. “As always, the company will meet or exceed all food-safety regulations in every single region of the world, including Europe.”

Impossible might have a trickier time gaining EU regulatory approval than other areas of the world. Europe is far stricter on genetically modified foods than the U.S. While technically heme isn’t genetically modified — it’s the output of genetically modified yeast — it could still throw up some red flags for the European Food Safety Authority.

Even if it does again approval, Impossible will have to distinguish itself from very crowded plant-based meat space in Europe. Retail shelves already sport plenty of alt-meat options from giants like Quorn and Unilever’s Vegetarian Butcher. Nestlé also sells its plant-based burger in McDonald’s Germany. And let’s not forget that Beyond, Impossible’s chief competitor, currently sells in several countries in the EU and is opening a new manufacturing facility in the Netherlands.

Since Impossible’s plant-based meat technically is free from GMO’s, I’m guessing that eventually the company will get regulatory approval to sell in the EU. The bigger question is whether the market will be so saturated by then that Impossible won’t be able to create as much brand recognition as it has in other parts of the world.

New Coalition Forms to Bring Cultured Meat to Market Faster

Today five cellular agriculture and aquaculture companies announced that they have formed a new coalition to educate and advocate for cultured meat — that is, meat or seafood grown outside the animal.

Called the Alliance for Meat, Poultry and Seafood Innovation (AMPS Innovation), the group consists of cellular aquaculture companies BlueNalu and Finless Foods and cell-based meat companies Fork & Goode, JUST, and Memphis Meats.

The goal of the coalition is to twofold. They want to provide resources to educate consumers on what exactly cell-based meat is and its health and environmental footprint. But to get to that, they’ll first have to tackle their other goal: to get cell-based meat and fish approved by regulators.

According to a press release sent to the Spoon:

In the coming months, AMPS Innovation intends to engage policymakers and stakeholders to educate them on their products in addition to working with Congress, the U.S. Department of Agriculture and the Food and Drug Administration as they continue to build out a regulatory framework for meat, poultry and seafood that is grown directly from animal cells, rather than harvested from the animals themselves.

Basically, AMPS Innovation will act as a mouthpiece and knowledge expert for the larger cellular agriculture industry, pushing for regulatory acceptance needed to bring cultured meat to market.

As of now, the regulatory pathway for cell-based animal products is still pretty nebulous. Last year the FDA and USDA agreed that they would jointly regulate cultured meat; the FDA will oversee animal cell collection and initial cell growth, while the USDA will be in charge of large-scale production labeling. It’s still unclear at exactly what point in the process that handoff will take place, and there’s no timeline about when the governmental bodies will actually approve cultured meat for sale.

Cell-based meat will make it to market; with the amount of interest around and capital invested in cell ag companies, that seems inevitable. At that point AMPS Innovation will likely pivot to focus more on educating consumers who are wary of eating meat grown in a lab — and pushing back against big meat and farming coalitions that don’t want them edging in on their sales.

AMPS Innovation is already building its case. In addition to resources such as high-res media images and descriptions about the cell-based meat production process, their website also has a page called “Terms that are accurate” (kind of an aggressive way to label a glossary, IMHO). The page states that terms like “Meat / poultry / seafood” or “meat / poultry / seafood products” are applicable to cell-based meat, poultry, and seafood, since they are made from animals and real animal flesh.

Big Meat is not going to like that. Farming groups and large meat corporations are already aggressively pushing for labeling restrictions for both plant-based and cell-based meat, even though the latter has yet to make it to market. AMPS Innovation clearly understands to gain regulatory approval, they’ll have to fight not only skeptical regulatory bodies, but also traditional animal agriculture companies with boatloads of money and governmental support.

The timing is right for AMPS Innovation. As the list of companies making cell-based meat and seafood grows, their messaging is becoming more fragmented. They need a unified voice with which to answer questions and advocate for their cause — both now as they start gearing up to advocate for regulatory acceptance, and later as they try to win over consumers.

British Regulators Eye Amazon’s Investment in Deliveroo

There is a certain level of irony in the fact that as America wrapped up celebrating its independence from Great Britain, British regulators were clamping down on one of America’s most influential companies.

The Guardian reports that Amazon’s recent minority investment in UK-based food delivery service, Deliveroo, is now being scrutinized by the UK government’s Competition and Markets Authority (CMA).

There were “reasonable grounds,” according to the CMA, to suspect that Amazon and Deliveroo could “cease to be distinct.” The CMA has ordered that any further integration between the two companies must be paused as the government investigates whether any competition rules were broken and determines whether it will launch a full merger inquiry.

Amazon was part of a $575 million Series G round of investment in Deliveroo earlier this year. The investment came after Amazon failed to gain any traction for its Amazon Restaurants delivery service in Britain, and shut it down.

With the CMA order, Deliveroo is prohibited from engaging in activity that “could lead to its integration into Amazon’s business while the regulator makes its decision,” reports The Guardian. This includes changes to big contracts or senior management without permission from the CMA.

The CMA’s move is part of a larger backlash growing against Amazon, whose massive size and influence has spooked state and city regulators here in the U.S. In May, under growing pressure from multiple city governments, Amazon dropped its no-cash accepted policy at its nascent chain of Go stores. And at the beginning of the year, Amazon decided to abandon plans to build a second HQ in New York after facing protests from lawmakers and activists there.

In another bit of irony, while the CMA’s move against Amazon serves to protect competition in the UK, we at The Spoon saw Amazon’s investment in Deliveroo actually as a way for the two companies to meaningfully break into the U.S. market.

Beyond Meat and Impossible Foods Get Label Wins, Score Big for Plant-based Meat

Yesterday plant-based burger startup Impossible Foods officially got the green light from the Food and Drug Administration (FDA) that their patties are safe to eat. Impossible voluntarily submitted their burger to the FDA for testing last year and was surprised when the regulatory body came back to them with a big red flag concerning the burger’s not-so-secret star ingredient: heme.

Though heme is typically found in animal tissue, it also occurs naturally in plants — albeit in smaller amounts. Impossible uses genetically modified yeast to produce large amounts of the stuff, which lends the trademark “bleeding” appearance, and meaty taste, to their burgers.

While the FDA was initially wary of approving heme, stating that there wasn’t enough information to establish its safety, it reversed its stance yesterday, claiming that the ingredient is “generally recognized as safe.”

Though it has cleared the FDA hurdle, Impossible Foods still gets flack for using genetically modified ingredients. Plant-based meat competitor Beyond Meat, however, made headlines today when it officially secured its status as non-GMO after a one-year review. Though many people, including Beyond Meat investor Bill Gates, believe that GMOs are “perfectly healthy,” the International Food Information Council Foundation revealed last month that nearly half of consumers avoid genetically modified food, believing it to be unhealthy.

These pieces of news are big wins for the respective alterna-meat startups. Business has been booming lately for both companies: Impossible recently started selling its vegan burger patties at White Castle and on select Air New Zealand flights, and Beyond has been selling out in grocery stores around the country, with plans for international expansion.