Global food manufacturing haswitnessed an explosive round of food technology advancements in the past two decades, exemplified by tech including plant-based proteins and the introduction of cultivated meat.
Unfortunately,not all products made using these technologies managed to reach scale or even become commercial successes, with players like JBS’ plant-based brand Planterra exiting the market and cultivated meat pioneer Shiok Meats selling to Umami Bioworks.
However, a fresh wave of food technologies have risen from the ashes of these firms, pushing the next phase of food production based on learnings from previous failures.
This was the focus of a recent ‘Food Tech 2.0’ exper panel comprised of California Cultured CEO Alan Perlstein, food manufacturing firm Tsao Pao Chee‘s head of food system and supply chain JY Chow and investment firm Atlantic Labs’ managing partner Christophe Maire.
Here are three of the key food technologies that the experts believe are set to shape the future of food manufacturing and production over the next decade:
1) Fermentation
Precision fermentation has been in play as a food production technology for quite some time, first in the production of beer and then as an alternative protein production solution.
Also on the horizon is the role fermentation can play in producing other food products which are facing supply challenges such as cocoa and coffee.
“We believe in fermentation farming, as this is a way for factories to make not only meat proteins but also other food ingredients in a cost-effective way,” Maire told the floor.
“It also has a lot to offer in terms of providing stronger food security, when the reality today is that many crops such as cocoa are facing supply challenges. By 2032, an estimated 50% of cacao farmland will be unfit for production.”
Perstein concurred, highlighting that previous technologies faced major issues at the commercial stage due to consumer acceptance, and it is imperative that producers identify and solve this issue in order to avoid pitfalls at this stage.
“Another reality is that today we must have cost-competitive products to go-to-market and survive – If you really want consumers to buy your products, the product’s value proposition must include being compelling, superior, tasting really good and also affordable,” he said.
“Food safety is also a priority as in no heavy metals or contaminants, and it is clear that food technology like fermentation is the only way to reconcile all of these necessities in new products – and it is only when the focus here is right that we can hope to convince consumers to open up their wallets.”
2) Mycelium
In addition to fermentation, Maire also pointed out mycelium processing technologies as a fast-growing sector that can satisfy consumer demands for affordability and value.
“Mycelium is a high-value ingredients sector, there is a US$60bn market for this so the nutritional value is there, the appetite is there and the market size is there,” he said.
“But importantly there are new solutions focused on mycelium development and processing today that are less expensive than in the past and also open up doors to a lot of new product development, further opening up potential market growth.”
That said, he highlighted concerns about the mycelium market repeating past mistakes from the alternative protein sector, particularly in terms of product positioning.
“Mycelium needs to be pushed out as its own new product category being offered to consumers, not as an alternative to meat or any other existing food item,” said Maire.
“This ‘alternative’ positioning has already been tried and tested to not be helpful for the growth of a new product category, particularly in the APAC region, so firms should be wary of this and think of mycelium more as tofu than a substitute for meat.”
3) Plant-based
When it comes to products that were positioned as ‘alternatives’, plant-based protein products were undoubtedly the category that suffered the most within the scope of proteins positioned as meat substitutes.
Enthusiasm for plant-based products has waned substantially over the past two years particularly in Asia, which many companies wanted to win over due to the large population size in this region.
“There was a lot of misguided enthusiasm initially as many firms thought consumers would be willing to pay a premium for sustainability – but as we now know, this is not always the case,” Maire said.
Perstein added that there were a lot of initial overpromises made about plant-based products which led to the sector’s later struggles.
“The big failure was taste, as many promises were made about how good these products would be – but when consumers don’t enjoy it, there is no future for the product,” he said.
“Many of these were overhyped and could not live up to expectations.”
But all is not lost for plant-based proteins – many plant-based firms are learning from past mistakes, and technologies in this space are still expected to be a big driver in food production.
“One initial misstep of the industry was in leaping too quickly to consumer-centricity – if companies had started off and stuck with a B2B focus, the scene today might be quite different,” Chow said.
“A lot of firms are now coming back to practicality and reality, with better understanding that in Asia the taste of food is closely linked to emotions around it, and there needs to be much more focus on this area too.”
In addition, cost pressures may eventually also drive consumers towards plant-based proteins if prices are able to reach more affordable margins compared the current state of double to quadruple the prices of conventional meat.
“We are seeing the price of beef and other animal proteins skyrocketing – demand for protein is practically unlimited, so food technologies are undoubtedly going to be crucial to feed populations moving forward,” he said.
